The Solomon Islands government says the new Constituency Development Funds Act and regulations currently being drafted will reduce corruption.
The system to channel funding through the offices of MPs, rather than through relevant ministries, has been criticised by Transparency Solomon Islands.
The group says allocation of agriculture funds should go through the Agriculture Ministry.
But the Finance Minister, Rick Hou, says the Ministry has no programmes in place, and there's less chance the funds will reach the people they are intended for.
He says people in his constituency would much rather apply for funding through his office.
"They're saying anything that goes through the ministries, ministry officials are more corrupt than anybody they can... This is a serious thing and we are working through it. And we don't see anything going through the ministries getting to the constituencies in an effective more quick way than going through the constituency officers."
Rick Hou says the regulations will come into force next year.