AGP Executive Report

Solomon Islands Politics & Business Confidence: The Solomon Islands Chamber of Commerce and Industry (SICCI) has met police to stay ahead of risks around Monday’s Motion of No Confidence, urging calm operations and protection of critical infrastructure. Cabinet & Finance Leadership: Opposition says Prime Minister Matthew Wale’s removal of Gordon Darcy Lilo as Finance Minister is a serious leadership error, coming amid cost-of-living pressure and right before the no-confidence debate. Fisheries Inclusion Strategy: The Ministry of Fisheries and Marine Resources launched its Gender Equality, Disability and Social Inclusion (GEDSI) Strategy 2026–2030 to broaden participation across fisheries value chains. Agriculture & Rural Jobs: SIART training strengthened rural farmers in Malaita, while construction of a new Auki agriculture office (SBD17.9m) has reached the halfway point and is on track. Local Finance Access: Australia-backed workshops in Honiara connected contractors with banks and lenders to improve access to finance for construction growth. Regional Security & Trade: A new Kerekere Customs Border Post is set to anchor border security and support future bilateral trade. Pacific Forum Fallout: At the Pacific Islands Forum in Palau, leaders demanded at least 24 hours’ warning for ICBM tests, with Palau pushing for a unified Pacific response to China’s missile test.

Cabinet & Finance Shake-up: Opposition says PM Matthew Wale’s removal of Gordon Darcy Lilo as Finance Minister is a serious leadership error, coming right before Parliament debates the no-confidence motion on 7 September—arguing it risks more uncertainty for budgets, investor confidence and development partner engagement. Political Instability Hits Business: The Solomon Islands Chamber of Commerce and Industry warns that frequent leadership and Cabinet changes are stalling decisions, delaying approvals and financing, and hurting jobs—saying the real damage is the uncertainty. Border & Trade Infrastructure: Kerekere Customs Border Post has been unveiled as a key border security and regional trade gateway, positioning Kokoda for future bilateral international trade. Agriculture & Rural Capacity: SIART training in Malaita is building young extension officers’ skills in financial literacy and feed formulation so they can support agribusiness producer groups; in Auki, a new SBD17.9m agriculture building is past the halfway mark and is meeting environmental safeguards. Construction Finance Support: Australia-backed workshops in Honiara are connecting local contractors with banks and lenders to improve access to finance, with emphasis on records and cash-flow management. Energy Costs & Reform: World Bank discussions with Solomon Islands officials focus on energy security, lower electricity costs, and support for reforms tied to hydropower and fuel-price pressures. Regional Security & Fisheries: Australia’s RAAF supported maritime surveillance for fisheries patrols under the Pacific Islands Forum Fisheries Agency, while Solomon Islands’ foreign minister calls for a modern, future-fit regional fisheries surveillance centre. Pacific Geopolitics: At the PIF Leaders’ Meeting in Palau, leaders demanded at least 24 hours’ warning for ICBM tests after China’s missile test, with Nauru dissenting on the wording.

Pacific Forum leadership shift: New Zealand has joined the Pacific Islands Forum (PIF) Troika, taking on expanded oversight ahead of Auckland hosting in 2027, with PM Christopher Luxon saying the goal is progress on economic prosperity, regional security and resilience. Solomon Islands-Japan ties: Japan reaffirmed support for Solomon Islands’ development priorities, including work via an education task force and exploration of aviation assistance such as airport infrastructure and terminals. Energy and cost pressures: The World Bank reiterated backing for Solomon Islands energy reforms and the Tina River Hydropower push, as ministers urged Pacific action to cut fuel-related transport and insurance costs to lower electricity prices. Business confidence hit by politics: SICCI warned that ongoing political instability is stalling decisions, delaying approvals and financing, and weighing on jobs and investment plans. Finance ministry shake-up ahead of no-confidence: Opposition says PM Matthew Wale’s sacking of Finance Minister Gordon Darcy Lilo is a serious leadership error just before Parliament debates the no-confidence motion. Regional fisheries security: Australia’s RAAF supported Solomon Islands-led maritime surveillance under Operation Solania, identifying vessels of interest, while Solomon Islands called for a future-fit Regional Fisheries Surveillance Centre. Biosecurity planning: MALD is preparing a Solomon Islands National Biosecurity Strategy 2026–2036 after a national validation workshop, aiming to protect agriculture and food security from invasive pests and diseases. Climate-resilient schools: UNICEF and the EU launched a €17m Pacific Climate Resilient Education Systems programme to upgrade schools’ water, sanitation, renewable energy and disaster readiness.

Maritime Security: Australia’s RAAF C-27J Spartan backed Pacific fisheries patrols under Operation Solania 26-3, flying 10 surveillance missions across 320,000 sq km and flagging 19 vessels of interest for follow-up by the Forum Fisheries Agency centre in Honiara. Fisheries & Policy: Solomon Islands Foreign Minister Rick Houenipwela urged Pacific leaders to invest in a “future-fit” Regional Fisheries Surveillance Centre, calling for resilient infrastructure, modern tech, stronger analysis and sustained support for Pacific staff. Regional Diplomacy: Palau President Surangel Whipps pushed for a “unified” Pacific response to China’s July ballistic missile test, arguing Beijing must respect sovereignty and transparency; the push comes as leaders debate how to handle Taiwan’s forum presence. Solomons Politics: Prime Minister Matthew Wale sacked Finance Minister Gordon Darcy Lilo as a no-confidence motion looms on 7 September, while Wale and the Office of the Prime Minister and Cabinet accuse rivals of political opportunism and destabilisation. Economy Watch: The Central Bank of Solomon Islands warned inflation could rise to 5–6% by end-2026, keeping its policy rate at 1.5% as oil prices and weather disruptions feed supply-side pressures. Biosecurity Planning: MALD is preparing the National Biosecurity Strategy 2026–2036 after a validation workshop, stressing biosecurity as an investment to protect agriculture, food security and livelihoods.

Pacific Islands Forum Fallout: China warned of “consequences” after Taiwan’s foreign minister attended a Palau summit event, as several leaders skipped the meeting amid fears of Beijing pressure. US-Australia Push: Australia and the United States announced a combined US$580m for Pacific priorities, including US$60m for fuel security and grid stability and major funding to tackle drug smuggling and transnational crime. Solomon Islands Politics: Honiara’s GREAT Coalition government hit back at a no-confidence motion against PM Matthew Wale, calling it a political power grab and arguing reforms are only just starting. Regional Action Pressure: Solomon Islands’ Rick Houenipwela urged Forum leaders to turn communiqués into results, pointing to the Review of Regional Architecture as a key chance to reset priorities. Local Economy Watch: CBSI kept its policy rate at 1.5% and warned inflation could reach 5–6% by end-2026, driven largely by oil prices and weather disruptions. Trade & Business: SINU will host the 2026 National Trade Fair (Sept 7–14) after signing an MoU with MCILI, with venue upgrades planned. Biosecurity Planning: MALD is preparing a National Biosecurity Strategy 2026–2036 after a Honiara validation workshop, targeting invasive pests and diseases that threaten food security and livelihoods.

Pacific Forum Push for Action: Solomon Islands’ Rick Houenipwela urged Pacific leaders to turn years of communiqués into real outcomes, pointing to the Review of Regional Architecture as a chance to reset priorities amid geopolitics, climate, security and finance pressures. PRF Moves From Idea to Projects: Cook Islands PM Mark Brown backed the Pacific Resilience Facility as it shifts from pledges to community-funded climate adaptation, with PRF showcasing 14 community impact projects ahead of COP31. Solomon Islands Finance Watch: The Central Bank of Solomon Islands kept its policy rate at 1.5% but warned inflation could climb to 5–6% by end-2026, driven by oil prices and weather disruptions. SME Credit Boost: SICCI welcomed the relaunch of the Small and Medium Enterprises Credit Guarantee Scheme, saying it can unlock affordable lending for local businesses. Geopolitics Overhangs Business Agenda: China warned of “consequences” for Taiwan’s presence at the Palau-hosted Pacific Islands Forum, while several leaders skipped the opening—raising concerns that great-power rivalry could crowd out climate, crime and development priorities. Solomons Diplomacy and Trade: Switzerland offered support to reopen Solomon Islands’ permanent mission in Geneva, and SINU will host the 2026 National Trade Fair in September. Regional Funding Race: Australia and the US announced a combined US$580m package for Pacific nations, including energy security and anti-drug smuggling efforts. Local Governance Tensions: OPMC rejected a move to topple PM Matthew Wale as a political power grab, amid ongoing reform plans.

Pacific Forum Power Shift: Palau has taken over the Pacific Islands Forum chair from Solomon Islands, with President Surangel Whipps Jr. stressing the “Pacific agenda must be driven by us” as leaders push climate, ocean protection and economic resilience. China-Taiwan Tensions: China’s envoy warned Taiwan’s presence at the Palau opening ceremony would bring “consequences,” while Australia said the Forum decides who attends; several leaders also skipped in-person participation, fueling claims of outside pressure. Solomon Islands Politics Spillover: New Zealand’s Winston Peters called PM Matthew Wale’s rushed return home a “setback” after a no-confidence motion and cabinet resignations. VAT Push in Honiara: Finance Minister Gordon Darcy Lilo says VAT’s policy decision is final and urged businesses to prepare now for registration, invoicing, record-keeping and input tax credits. SME Finance Relaunch: SICCI welcomed the reopening of the Small and Medium Enterprises Credit Guarantee Scheme to unlock lending for local businesses. Energy & Development: Solomon Islands met the World Bank on fuel prices and lowering electricity costs, while UNICEF and partners handed solar power to seven rural health facilities in Malaita. Local Business Growth: Firetree secured a Tesco listing for its 100% cocoa chocolate bar made with Solomon Islands cocoa; Shortland received a $1.5m China-funded fishing project under RSDP. Carbon Income for Landowners: Padezaka forest in South Choiseul was approved as an operational carbon project, aiming to generate benefits for about 4,000 landowners.

Pacific Forum Tensions: China warned of “consequences” after Taiwan’s foreign minister appeared at the Pacific Islands Forum opening in Palau, while several leaders skipped key sessions amid claims of foreign pressure. Solomon Islands Politics: Prime Minister Matthew Wale left Palau to address a no-confidence motion at home; New Zealand’s Winston Peters called the timing a “setback” for regional security talks. VAT Push: Solomon Islands’ Finance Minister Gordon Darcy Lilo opened tax reform consultations and told businesses to prepare now for VAT, saying the VAT decision is final and firms must update registration, invoicing, records and input tax claims. Energy & Cost of Power: Solomon Islands met the World Bank on energy security, fuel prices and lowering electricity costs, with renewed focus on solar and hydro and possible fuel storage. Carbon Finance for Landowners: Padezaka forest in South Choiseul was cleared to join the global carbon market, aiming to generate income for about 4,000 landowners. Rural Development: Shortland Islands received a $1.5m China-funded fishing project under the RSDP, and UNICEF helped install solar power for seven rural health facilities in Malaita. Bilateral Moves: Switzerland offered support to reopen Solomon Islands’ permanent diplomatic mission in Geneva, and Solomon Islands and Japan reaffirmed cooperation on education, infrastructure and aviation.

Pacific Climate Credibility: New Zealand’s Winston Peters questioned whether the Paris Agreement can deliver for the Pacific, pointing to major emitters (China, Russia, US, India) responsible for 60%+ of global emissions as leaders push for 1.5°C and more practical climate finance. Solomons Political Shock: Solomon Islands PM Matthew Wale is set to face a no-confidence motion next week after three ministers resigned from his GREAT coalition, with NZ’s Peters blasting cabinet moves made on the eve of the Pacific Islands Forum. PIF Geopolitics—Taiwan Flashpoint: China warned of “consequences” after Taiwan’s foreign minister appeared at PIF opening events in Palau, as several leaders also skip the summit, weakening unity. CBSI Rate Watch: The Central Bank of Solomon Islands kept its policy rate at 1.5%, but warned inflation may rise to 5–6% by end-2026; it also downgraded growth to 3.0% for 2026. Rural Health Power: UNICEF handed over solar electrification to seven rural primary healthcare facilities in Malaita, a near SBD$1.89m investment. Honiara Property Revaluation: CAUSE II advanced Honiara’s citywide property revaluation with a valuation workshop under the Integrated Land Information System push. US Economic/Security Outreach: US Deputy Secretary of State Christopher Landau is scheduled to visit Solomon Islands next week to meet government and business leaders on shared economic and security priorities.

Political Crisis in Honiara: Solomon Islands PM Matthew Wale faces a no-confidence motion after three senior ministers resigned—Home Affairs Minister Manasseh Maelanga (who filed the motion), Justice Minister Clezy Rore, and Commerce/Industries/Labour/Immigration Minister Harry Kuma—raising fresh questions about Cabinet consultation and governance as investigations into bauxite shipments, Pacific Games spending and the Economic Stimulus Package continue. Pacific Unity Under Strain: At the 55th Pacific Islands Forum in Palau, at least five leaders are skipping the leaders’ retreat, including Wale, Fiji’s Rabuka, Vanuatu’s Napat and Samoa’s Schmidt, complicating a summit already overshadowed by Taiwan-China tensions. Central Bank Watch: The Central Bank of Solomon Islands cut its 2026 growth forecast to 3.0% (from 3.8%) due to higher fuel costs, Cyclone Maila and El Niño disruptions, while keeping the policy rate at 1.5% and warning inflation could reach 5–6% by year-end. Energy and Health Delivery: UNICEF handed over solar electrification systems worth nearly SBD$1.89m to seven rural health facilities in Malaita, boosting service reliability for thousands. Fisheries Inclusion Plan: The Ministry of Fisheries and Marine Resources is set to launch its new GEDSI strategy after staff training, aiming to embed gender equality, disability and social inclusion across fisheries work. US-Pacific Engagement: US Deputy Secretary of State Christopher Landau is scheduled to visit Solomon Islands next week as part of a wider Pacific tour focused on economic and maritime security priorities.

Pacific Islands Forum turmoil in Palau: Solomon Islands PM Matthew Wale cut short his trip and left Koror after a no-confidence motion was filed against him at home by Home Affairs Minister Manasseh Maelanga, while several other leaders also pulled out, leaving key seats empty as the 55th PIF Leaders Meeting gets underway under the “B.E.L.A.U.” theme. Governance and pay questions: Opposition leader Manasseh Sogavare demanded answers over Attorney-General Gabriel Suri’s reported $35,000 fortnightly pay, asking what law authorised the package and why it is far higher than the PM’s basic salary. Housing hit by court action: Families in Lungga say they are left homeless after homes were demolished following enforcement of a High Court order over a disputed land parcel, with residents calling for urgent government shelter support. Mining law stakes: The Bills and Legislation Committee warned Guadalcanal landowners that proposed Mineral Resources Bill amendments could significantly change mining rules, including potential state participation and impacts on existing mining interests. Press freedom concerns: Transparency Solomon Islands condemned police questioning of investigative journalist Gina Maka’a and alleged intimidation of whistleblowers following a raid on In-depth Solomon Islands. Taiwan returns to PIF: Palau is allowing Taiwan participation again after last year’s exclusion, drawing Beijing’s objections and highlighting intensifying geopolitics around the forum.

Pacific Islands Forum turmoil: Solomon Islands PM Matthew Wale cut short his Palau trip and left the 55th Pacific Islands Forum after a no-confidence motion was filed against him by Home Affairs Minister Manasseh Maelanga, triggering internal coalition revolt and leaving Wale and several other leaders absent at the last minute. No-confidence fight: Maelanga says Wale made “unilateral” decisions without proper Cabinet consultation; Maelanga also denies he was offered the PM post if the motion succeeds, while sources say ministers linked to the revolt have resigned. Governance and pay questions: Opposition leader Manasseh Sogavare demanded answers over Attorney-General Gabriel Suri’s reported $35,000 fortnightly pay, asking what law and Cabinet arrangements authorise the package. Housing fallout: Lungga families face homelessness after a High Court order led to demolition of homes on a disputed land parcel, with residents calling for urgent shelter support. SME finance push: The Central Bank says the reopened SME Credit Guarantee Scheme targets collateral barriers, with Government committing $18m to help eligible small businesses access larger loans. Climate policy input: Children from Makira, Malaita and Honiara will feed into a draft Loss and Damage policy ahead of COP31, with their messages presented to MECDM officials and partners. Press freedom concern: Transparency Solomon Islands condemned RSIPF questioning of an investigative journalist and alleged intimidation of whistleblowers after a raid tied to an Inland Revenue audit dispute. Regional business and development: PRC-funded RSDP delivered 400 solar street lights to East Honiara communities, while SIART support is expanding poultry production for Gold Ridge women farmers.

Pacific Islands Forum in Palau: Leaders head to the 55th Pacific Islands Forum with a long agenda shaped by geopolitics, transnational crime, economic pressure and regional unity, as major powers compete for influence and ocean resources. Climate finance push: Solomon Islands says it can’t accept less than progress on a Loss and Damage funding arrangement at COP27, calling the process unclear and a “red line” issue. Taiwan returns, China objects: Taiwan is back at this year’s Forum after being barred in 2025, with the U.S. backing Taiwan’s continued participation while Beijing urges the “one-China principle.” Solomon Islands politics: A notice of no-confidence against PM Matthew Wale has been lodged in parliament, citing unilateral decisions and links to major investigations. SME finance relaunch: Government and CBSI have reopened the SME Credit Guarantee Scheme to help MSMEs access loans, targeting rural businesses, women and youth. Mining law tensions: Guadalcanal Gold Ridge landowners warn proposed Mineral Resources Bill amendments could bring major changes, including State participation in mining, and are demanding more consultation. Press freedom concern: Transparency Solomon Islands and IDS founder raise alarms after police questioned a journalist and sought a confidential source. Women’s poultry boost: SIART support is helping Gold Ridge women expand broiler production, with first chicks delivered and sales expected in six weeks. Biosecurity planning: A validation workshop next week will shape Solomon Islands’ Biosecurity Strategy 2026–2036.

Loss and Damage at COP: Solomon Islands says COP27 must deliver a real decision on establishing a Loss and Damage funding arrangement, calling it a “red line” issue as negotiations in Sharm El-Sheikh remain unclear. Pacific Islands Forum in Palau: Leaders head to the 55th PIF Leaders Meeting with a tougher agenda shaped by geopolitics, transnational crime, and economic pressure, while Taiwan’s return after being barred in 2025 sparks renewed China objections. U.S.-Taiwan stance: The U.S. backs Taiwan’s continued participation in PIF, framing it as a long-time development partner for prosperity and economic development. SME finance boost: Government and CBSI have reopened the SME Credit Guarantee Scheme, with $18m committed to help MSMEs access loans by reducing risk for banks. Mining law pressure: Guadalcanal’s Gold Ridge landowners warn they need more time over proposed Mineral Resources Bill amendments, including major changes to state participation and mining licences. Agriculture and jobs: SIART support is helping Gold Ridge women expand poultry production, while World Bank-backed farming projects and biosecurity planning also move forward. Media freedom concerns: Transparency Solomon Islands and OCCRP condemn police questioning and searches tied to an Inland Revenue audit linked to alleged tax discrepancies.

Pacific diplomacy and business risk: Australia’s PM Anthony Albanese is set to join Pacific Islands Forum leaders in Palau, with a flurry of defence, policing and regional deals that could reshape trade and security planning across the region. Forum agenda pressure: Leaders are heading into a longer, tougher summit agenda covering energy security, economic pressures, transnational crime and regional integration. Maritime climate rules: Governments are back in London for IMO Net-Zero Framework talks, with shipping firms and states divided over carbon pricing and implementation details. SME finance boost: Solomon Islands has officially reopened the SME Credit Guarantee Scheme (SMECGS) with $18m committed, aiming to help MSMEs access loans despite collateral barriers. Women’s agribusiness push: SIART support is helping Gold Ridge women farmers expand broiler production, with improved housing and sales expected within weeks. Local infrastructure handover: China-funded RSDP delivered 400 solar street lights to East Honiara communities, targeting safer streets and better daily life. Mining law uncertainty: Guadalcanal landowners are warning they need more time to consult on major proposed Mineral Resources Bill changes, including potential state participation. Press freedom alarm: Transparency Solomon Islands and international media groups condemn RSIPF questioning and office searches tied to an Inland Revenue audit linked to alleged tax discrepancies. Pacific Games audit fallout: Opposition leader Manasseh Sogavare accepts political responsibility for 2023 Pacific Games audit failures, while civil groups demand public answers on unlawful spending and procurement.

SME Finance Boost: Solomon Islands has officially reopened the SME Credit Guarantee Scheme (SMECGS), with Government and CBSI saying the $18m-backed relaunch is meant to help MSMEs access loans by sharing lending risk with banks—especially for rural, women and youth businesses. Women’s Poultry Push: SIART support is helping Gold Ridge women farmers in Guadalcanal expand broiler production, with improved housing now able to hold up to 500 birds and the first batch of 300 chicks delivered for sales in about six weeks. Mining Law Tensions: Guadalcanal landowners at Gold Ridge are warning they need more time to consult on proposed changes to the Mineral Resources Bill, including concerns over state participation and how mining licences and royalties could be affected. Press Freedom Under Fire: Transparency Solomon Islands and OCCRP have condemned RSIPF questioning and a raid on an investigative journalist’s office, linked to an Inland Revenue audit alleging major tax discrepancies involving SITCO. Pacific Games Accountability: TSI is calling for public answers over Auditor General findings on 2023 Pacific Games spending, while opposition leader Manasseh Sogavare says he accepts political responsibility and urges follow-up investigations. Biosecurity Planning: MAL and Biosecurity Solomon Islands will hold a validation workshop next week for the Biosecurity (SI) Strategy 2026–2036, focusing on financing, partnerships, workforce and risk reduction. Climate Voices Ahead of COP31: World Vision says child delegates will take climate concerns to Government in Honiara on Sept 2, including input on the draft National Policy for Loss and Damage. Energy for Honiara: China’s RSDP has handed over 400 solar-powered street lights to East Honiara communities, aimed at improving safety and daily life. Regional Politics Watch: Pacific leaders are heading to Palau for the 55th Pacific Islands Forum with a longer agenda shaped by geopolitics, transnational crime and economic pressures, while Taiwan’s return to the forum is also in focus.