9 Aug 2005

Solomons provincial government could lose grants for failing to pass budget

7:19 pm on 9 August 2005

The provincial government in Temotu in Solomon Islands could be about to lose a key grant paid out by the national government, because it has failed to pass a budget for the current year.

The permanent secretary for provincial government in Honiara, John Tuhaika, says the ministry may suspend the services grant because the assembly hasn't met to consider a budget even though the new financial year started on April 1st.

It does have a meeting scheduled for August 22nd but our correspondent says the pressure from Honiara may cause it meet earlier.

It the monthly grants of about 20 thousand US dollars are withheld, some government services will be stopped and up to 30 workers will not receive their salaries.