18 Aug 2016

Solomons rearranges govt spending

9:50 am on 18 August 2016

The Solomon Islands government has rearranged its budget spending to ensure funds are not wasted and prioritised for essential services.

The Minister of Finance and Treasury Snyder Rini said there had been too much spending on non-essential matters such as functions.

The revised 2016 budget means spending will be effected across most ministries, but health and education will be protected from cuts.

The ministry said that if spending on education and health is to increase at least along with population levels, it will need to grow by around three per cent for next year's budget.

Mr Rini said there are also other major pressures on the task of balancing the 2017 budget such as elections, planning for the 2023 games and the RAMSI drawdown.

He said he would make structural changes to accommodate those needs.

The 2017 budget is expected to yield around $496 million US dollars in revenue, with spending tipped at around $551 million US dollars.