The Governor of the Central Bank in Solomon Islands says the stand-off between Canberra and Honiara is having an adverse effect on investment in Solomon Islands.
Rick Hou says potential investors have halted any plans because of the political uncertainty in the country.
He says the situation has already impacted on the tourism and hospitality industry.
But Mr Hou also says if the political stand-off is not resolved soon, it would also have adverse effect on the medium and long term investment of Solomon Islands.
The SIBC reports him saying for example banks would be cautious of expanding their services to rural areas.