30 Nov 2012

Samoa opposition says government would raise tax to fund new projects

6:49 am on 30 November 2012

Samoa's opposition leader says a number of government projects need to be reconsidered in light of budget and environmental concerns.

Palusalue Faapo II says a proposal to construct a number of restaurants, cafes and bars around the capital's waterfront's concrete seawall could be a threat to the marine environment.

He is also concerned with other proposed projects such as converting the current government complex into a hotel and the construction of a multimillion trade center in town early next year.

Palusalue says there are no funds available for these projects and the government will raise the valued added goods services tax in the next budget to enable to meet the cost.

But the minister of finance, Faumuina Tiatia Liuga, has said the government would consider making a soft term loan and relying on overseas aid to fund the waterfront project.

The minister did not say how other two projects will be funded.