24 Nov 2004

Central Bank says Solomons govt needs to improve infrastructure to avoid exploitation

11:14 am on 24 November 2004

The Deputy Governor of the Central Bank in Solomon Islands says if the government doesn't address infrastructure problems in rural areas they will continue to be exploited by foreign companies.

Denton Rarawa has called on the government to invest in rural communities so that they can contribute to the economy.

Mr Rarawa says the rural areas hold most of the country's resources so it is only fair they get better roads and shipping connections.

He says the problem needs to be addressed soon otherwise landowners will continue to be ripped off.

"We have seen this in the forestry sector. The resource-owners, while trying to help themselves, don't have the capacity to develop these resources. As a result they invite these foreign sub-contractors to come in and exploit the resource but at the same time they earn very little."