Corruption Impacts Doing Business in Solomon Islands

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Corruption is to be blamed as a huge impediment of doing business in the Solomon Islands.

BY ALEX DADAMU

SOLOMON Islands has deteriorated to a 21 place vertical fall from 115 places recorded in 2018 to 136 place last year, according to the latest World Bank annual economy 2019 rating on “ease of doing business index” in the Solomon Islands.

The Solomon Islands was graded in the category by the World Bank along with 190 other countries and economies.

The ease of doing business index ranks countries against each other based on how regulatory a country’s environment was with regards to conductivity to business operations and stronger protections of property rights. Economies with a high rank (1 – 20) have simpler and friendlier regulations for business.

In a Corresponding report by the transparency international on the Corruption Perception Index (CPI) launch recently, in which the Solomon Islands slips by two points and is 42/100 from a record low recorded the previous year, 2018, Transparency Solomon Islands, Legal officer, Joy Abia in her statement pointed out to the public that the Solomon Islands Chamber of Commerce and Industry (SICCI) in their latest business scan conducted, has overwhelmingly identified corruption as the biggest impediment in doing business in Solomon Islands.

“The CPI, however, has its limitation in that it is a tool that incorporates the opinion of the business community. It uses survey data from investors, business people, and market analysis to reflect the private sector’s opinions and perceptions of corruption in the public sector,” TSI Legal officer, Joy Abia stressed.

In the meantime, the TSI Legal Officer in her account calls on businesses and investors in the Solomon Islands to show greater responsibility in promoting integrity and accountability, adding that the government should also realize where they must eliminate undue political influence.

Corruption occurs at all levels of the society, from local and national governments, judiciary functions, large and small businesses, and other services and so on.

It affects the population in the Solomon Islands, though all elements of society are affected in some way as corruption undermines political development, democracy, economic development, the environment, people’s health and more.