14 Oct 2004

Feasibility study on Solomons currency complete

8:05 am on 14 October 2004

The Central Bank of Solomon Islands says two visiting consultants from the Australian Reserve bank have completed their feasiblity study on adopting the Australian currency.

The Acting Governor of the Central Bank, Denton Rarawa, says the study looked at costs and economic factors, following an initial request by Prime Minister, Sir Allan Kemakeza, to his Australian counterpart.

Solomons Radio reports Mr Rarawa saying the report will become a public document of the Government of Australia.

But he dismissed indications that a change to Australian currency would cost the country US$11 million dollars.

Mr Rarawa says the possibility of switching to the Australian currency is just an idea.

But the veteran politician, Sir David Kausimae, has voiced his opposition, saying that the Solomons would lose its sovereignty and integrity if it revoked its own currency.