20 Jul 2010

Central bank in Solomon Islands notes signs of economic recovery

9:55 am on 20 July 2010

The Central Bank of Solomon Islands says the country's economy saw signs of recovery in the domestic economy in the first three months of 2010.

The SIBC reports the bank says overall production began to rise again following its contraction in the second half of 2009.

It says bad weather and flooding experienced during the quarter adversely affected the production of most agricultural commodities.

The bank says the external sector provided a favourable environment for the country's exports, although imports continue to outweigh the gains in exports, and as a result trade activities rebounded, after witnessing a slow down in the fourth quarter of last year.

The Central Bank says the overall production index saw a rapid

21 percent rise in the March quarter, and crude palm oil exports also saw a quarterly increase of around 11-percent which is 27-percent higher than for the same period the year before.