The Central Bank of Solomon Islands Board has announced it is adjusting its monetary policy stance to a more ‘accommodative monetary policy’. In a statement, the Bank says it is moving to this new policy from the neutral position it adopted in the first half of the year.
The Bank says the decision was configured to support the economy during the post flood recovery phase. CBSI Governor and Board Chairman, Denton Rarawa explains the new policy involves reviewing and adjusting several of CBSI policies and regulations to foster investment and growth. Meanwhile, the CBSI Governor also states, the Bank anticipates the economy will grow at a higher rate than the zero-point-nine percent which was forecasted following the April floods. Mr Rarawa said the growth is expected to be supported by the “quick turnaround in agriculture, robust fisheries sector, and uptick in communication and construction activities, combined with post rehabilitation activities.