Download PDF - Pacific Islands Forum Secretariat

6
What has been the progress and achievement(s) over the last 12
months? (continued)
- technical assistance and training support received to improve statistical issues;
- enhancing monitoring and evaluation system for the Kiribati Development Plan and
Budget execution;
- expansion of some banking services to Development Bank of Kiribati and Kiribati
Provident Fund;
- establishment of a Food Crisis Grant to support import levy fund that is expected in
May after co-signing of Grant Agreement by Ministry of Finance and Economic Development
(MFED); and
- launched the Public Financial Management Plan
Government of New Zealand
• New Zealand continues to support Pacifi c Island Countries to address economic and fi scal
challenges they face, exacerbated by the global economic crisis. Examples include:
- Member of the Solomon Islands CEWG and participated in the fi rst Annual Joint Review.
- Liaising with the Government of Tonga and other relevant donors over priority fi nancial
and economic reforms and potential budget support. New Zealand also provided
budget support during this period to help preserve essential education and police
services.
Government of Palau
• Visitor arrivals have been on the rise as a result from the increase in fl ights servicing Palau.
The additional fl ights and airlines bring about competitive, discounted rates for travelling,
which not only benefi t visitors but the locals as well. Tourism is the country’s bread and
butter, yet there are still efforts being made to attract foreign investment to strengthen the
private sector and diversify revenue sources.
• Efforts to reduce utility costs through renewable/alternative energy initiatives are
ongoing, including solar panels have been installed in government buildings; the
National Development Bank has been active by encouraging homes to be built in an
energy effi cient manner; and new generators and engines have been installed at the Public
Utilities Corporation’s Malakal Power Plant to provide better and more effi cient utility
services.
Government of Tuvalu
Safeguarding macro-economic stability
• In April 2011, the Government of Tuvalu passed the Banking Commission Act that
establishes a legal framework to supervise and regulate the fi nancial sector in Tuvalu in
line with Basel Core Principles.
• Over the past 12 months, the Government has cleared outstanding liabilities arising from
Government Guarantees that were called in after the collapse of Air Fiji. This has reduced
the Government’s overall debt burden.
• Maintenance of the Government Medium-term Fiscal Framework to monitor the impact
of the budget situation.
• The Government has submitted to a recent Public Expenditure and Financial
Accountability (PEFA) review undertaken by Asia Development Bank to review public
fi nancial management (PFM) operations in Tuvalu. This will be used to prepare a roadmap
for public fi nancial management reform in Tuvalu.