A Landmark Strategy to Stimulate the Solomon Islands’ Rural Economy

Contacts:
In Honiara: Ms Jane Waetara
Permanent Secretary,
Ministry of Development Planning and Aid Coordination
Phone: 38336 or 38255

In Sydney:  Ms Sue Spencer
Communications Officer
The World Bank
Phone: +61 2 9235 6551 or +61 409 740 725
Email: sspencer@worldbank.org

Honiara, 27 April 2007 - A landmark strategy to stimulate the Solomon Islands’ rural economy will be launched in Honiara today. Known as the Agricultural and Rural Development Strategy (ARDS), it aims to strengthen the rural economy to promote growth, create jobs and to increase rural incomes.

“The Government has made rural development its priority, recognizing that this will be one of the building blocks for lasting peace and security,” said Steve Abana, Minister for Development Planning and Aid Coordination, launching the new strategy. “We Solomon Islanders all know that rural households want affordable and good quality services and infrastructure, more ways of earning income locally and more involvement and better returns from the management of their natural resources. For the first time, we have a comprehensive and long-term strategic framework to work towards these important goals.”

The Agricultural and Rural Development Strategy provides a new approach to development programs from the past, which have often failed to bring about sustainable improvements in the lives of rural people. It will promote local consultation and decision making, better coordination and will take into account the local conditions in different provinces and islands.

It is well known that 84 per cent of Solomon Islanders live in rural areas. Rural services and infrastructure are poor. Communications with and inter-island shipping services to many communities are both difficult and inadequate. Only 16 per cent of the population has access to electricity. Telecommunications are very costly and in many rural areas are virtually non-existent. The marketing of agricultural products, like cocoa and coconut products is poor. Less than half of the rural population has access to safe, drinking water.

The Agriculture and Rural Development Strategy includes an Action Plan over two time frames – short-to-medium term (to 2011) and the longer term (to 2020). The Action Plan focuses on three areas:

1. Improving local governance and service delivery
2. Supporting the local economy to the benefit of more people
3. Managing natural resources for the future

The recent earthquake and tsunami which struck Western and Choiseul provinces have highlighted the vulnerability of many remote communities. The ARDS includes measures to reduce the risk and impact of these unavoidable disasters.

The Agriculture and Rural Development Strategy has been developed through extensive consultation with Government, the private sector and civil society in all nine provinces. This process encountered a wide range of views and opposing opinions. As a result the ARDS now represents a well-founded and robust consensus on priorities and the way forward for rural development.

The ARDS has been prepared by Government with the support of the European Commission (EC), the Regional Assistance Mission to the Solomon Islands (RAMSI) and the World Bank and which demonstrates these donor partners’ commitment to donor coordination and harmonisation.

“The EC’s participation in the preparation of the ARDS responds to the over-arching goal of our co-operation with the Solomon Islands, which is to support the Government in fighting poverty and achieving the Millennium Development Goals,” said EC Ambassador and Head of Delegation, Aldo Dell’Ariccia.

"RAMSI has been pleased to support the development of the ARDS,” said RAMSI Development Coordinator, Mr Blair Exell. “The ARDS gives direction to rural livelihood programs and will lead to resources going to areas that will deliver more benefits for Solomon Islanders.”

SI$200 million per year is expected to be available for agricultural and rural development over a five year period (2007-2011), through ongoing and new programs. One important investment program which aims to implement some of the key priorities identified in the ARDS, is the Rural Development Project (RDP). This is currently being jointly prepared by the Government, the EC, RAMSI and the World Bank.

Strong partnerships between the Government, provincial governments, the local communities and civil society will be vital under the Rural Development Project  to improve the level and security of rural livelihoods,” said Ms Marianne Grosclaude, Agriculture Economist for the World Bank.

The Rural Development Project is a five-year project with the aim of increasing access by rural communities to infrastructure and services, which have been identified through community consultation and participation.

Access the summary (1.3mb pdf) or the full report (2.5mb pdf)

For more information about the World Bank program in the Pacific Islands, visit http://www.worldbank.org/pi