AGP Executive Report

Minimum Wage Review: SICCI and private sector groups want any Solomon Islands minimum wage adjustment preceded by broad provincial consultation and a clear economic impact assessment, warning a poorly set increase could hurt business viability and jobs. SME Finance Boost: Government has signed a revised MoU with the Central Bank to strengthen the SME Credit Guarantee Scheme, with SBD18 million earmarked for disbursement in 2026 to expand business lending. Fuel Measurement for Fair Trade: Australia’s National Measurement Institute donated fuel trolleys to Pacific nations including Solomon Islands to help regulators test pump accuracy, supporting fairer fuel transactions and protecting revenue. Road Resilience Upgrade: With World Bank support under SIRAP2, MID is improving climate-resilient transport asset management by upgrading the Transport Asset Management System to better plan, prioritize and maintain roads and wharves. Honiara Markets & Tourism: HCC will launch the Naghoniara Vaka Flea Market (5–7 July) to back local vendors, and is also inviting landowners to partner on 12 designated betelnut markets across city wards. Team Solomons Fundraising: NOCSI fundraising event venue has shifted to Cowboys Bar & Grill ahead of the July 4 corporate dinner and live show.

Pacific Trade Survey: A new 2026 Pacific Islands Export Survey has recorded its biggest response in more than a decade, with early signs showing exporters are diversifying markets and adopting digital tools even as finance gets harder. Aviation & Connectivity: Solomon Airlines says it will launch a scheduled Port Moresby–Honiara service next Tuesday, aiming to boost tourism, business travel and regional links. Local Markets & City Economy: Honiara City Council will launch the Naghoniara Vaka Flea Market (5–7 July) and has also approved 12 designated betelnut markets across the city’s wards, inviting titled landowners to partner. Road Safety Works: Lane markings and traffic signs are now being installed at Tandai in West Honiara as part of wider road improvement efforts. Climate Resilience Training: Provincial officers are in a week-long Training of Trainers workshop in Tulagi on climate and disaster risk management to strengthen planning at provincial and community levels. Mining & Policy Cooperation: Solomon Islands and Papua New Guinea are deepening mining governance cooperation, with PNG offering mining policy experience as Honiara pushes reforms to maximise local benefits. Health Funding: Japan has signed grants worth about SBD$14.6m for scholarships and modern malaria diagnostic equipment, as malaria cases remain a major challenge. Regional Security Diplomacy: Solomon Islands PM Matthew Wale is pushing a stronger Melanesian Spearhead Group and reaffirming balanced foreign policy ties, including with Japan.

Honiara City Council & Markets: HCC will launch the inaugural Naghoniara Vaka Flea Market 2026 from 5–7 July at Lawson Tama Stadium carpark, then move it to a permanent Sunday market to boost local enterprise and tourism. Independence Celebrations: Organisers are lining up a 7 July float parade through Honiara’s main streets, with ministries, companies, schools and civil society competing for prizes and showcasing services. Transport & Safety: Road marking works have started at Tandai in West Honiara, with lane markings and stop lines planned to improve traffic flow and reduce accidents. Financial Inclusion: CEFI and the Salvation Army have finished a five-day Financial Literacy ToT programme, certifying 29 community trainers (including Solomon Islands reps) to deliver budgeting and savings training locally. Aviation & Business: Solomon Airlines’ struggles are drawing fresh scrutiny, with aviation experts warning that smaller carriers must build sustainable models, not rely on open-ended government support. Maritime Response: Pacific Towing (PacTow) handled two emergency tow operations after engine failures—one in PNG waters and another involving MV Wealth in Solomon Islands. Health & Grants: Japan has signed new grant agreements for scholarships and modern malaria diagnosis equipment for Solomon Islands.

Foreign Policy & Aid: Solomon Islands PM Matthew Wale met Japan’s foreign affairs minister in Honiara, reaffirming a balanced foreign policy and thanking Japan for support, including a new package of grants for scholarships and modern malaria diagnosis equipment. Public Health Funding: Japan signed two Exchange of Notes worth 294 million Japanese Yen (about SBD 14.6m) to boost human resource development and improve malaria detection capacity nationwide. Mining & Investment: PNG offered Solomon Islands its mining policy experience, with leaders agreeing to deepen cooperation on mining sector reforms; PNG’s approach targets at least 55% of project benefits for the state and encourages PNG companies to invest in Solomon projects. Regional Cooperation: PNG and Solomon Islands also signed a 2026–2030 framework to expand trade, investment, infrastructure, security cooperation and business activity. Local Economy & City Services: Honiara City Council approved 12 designated betelnut markets (one per ward), inviting titled landowners to partner to reduce illegal roadside selling and improve cleanliness. Infrastructure & Transport: Road marking works began at Tandai in West Honiara to improve traffic flow and road safety as part of wider upgrades. Business & Connectivity: Solomon Airlines is set to launch a scheduled Port Moresby–Honiara service next Tuesday, aiming to lift tourism and business travel between the two countries. Disaster Readiness Skills: SPC and WFP trained logistics and warehouse officers from six Pacific disaster management offices in Brisbane, including Solomon Islands, to strengthen humanitarian warehousing and dispatch during emergencies.

Pacific Security & Aid: Vanuatu and Australia have signed the Nakamal Agreement in Canberra, locking in a A$500m partnership and making Australia the primary policing and disaster-response partner, while requiring Port Vila consultations on any third-party involvement in critical infrastructure and banning foreign military bases and militarisation. Regional Disaster Readiness: SPC and WFP trained logistics and warehouse officers from six Pacific disaster offices in Brisbane, including Solomon Islands, to speed up relief warehousing and dispatch during emergencies. Foreign Policy Pivot: Solomon Islands PM Matthew Wale says Honiara is pursuing a balanced foreign policy and strengthening ties with Japan, as he also visited Australia and New Zealand. Mining Governance Push: PNG and Solomon Islands agreed to deepen cooperation on mining reforms; PNG offered resource-law and technical support, aiming to keep sectors investor-attractive while boosting national returns. Health & Scholarships: Japan signed grant agreements worth about SBD$14.6m for malaria diagnosis equipment and postgraduate scholarships for Solomon Islands public servants. Local Business & Markets: Honiara City Council is inviting titled landowners to partner on 12 designated betelnut markets across the city’s wards to curb illegal roadside selling. Connectivity: Solomon Airlines will launch the Port Moresby–Honiara scheduled service on 7 July, boosting tourism and business travel. Public Safety: Malaria remains a major challenge in remote areas, with cases rising despite prevention efforts. Aviation/Trade: PNG and Solomon Islands also signed a 2026–2030 framework covering trade, investment, policing, maritime cooperation and development.

Solomon Islands–Japan Aid: Honiara signed two Japan grant agreements worth 294 million Japanese Yen to boost public service training (JDS scholarships) and improve malaria diagnosis equipment for the Ministry of Health. Mining Governance: Solomon Islands and Papua New Guinea agreed to deepen cooperation on mining sector reforms, with PNG offering legal and technical support and pushing for clearer rules that protect national benefits, including plans like a Solomon gold export unit and longer-term refinery. PNG–SI Economic Framework: The two Melanesian neighbours also signed a 2026–2030 framework covering trade, investment, infrastructure, security, fisheries, agriculture and regional cooperation, with leaders stressing shared challenges and border/security needs. Aviation Connectivity: Solomon Airlines will launch scheduled Port Moresby–Honiara flights from July 7, improving travel for business, tourism and families. Pacific Finance Access: Pacific leaders met in Majuro to progress a project aimed at strengthening correspondent banking links, supporting trade, remittances and tourism while tackling anti-money laundering and resilience. Rural Commodities Support: CEMA agents are buying copra and cocoa in rural communities, cutting transport costs for farmers and helping them earn more locally. Regional Security Deal Watch: Australia and Vanuatu signed the Nakamal Agreement, barring foreign military bases and requiring consultation on third-party involvement in critical infrastructure—an issue closely watched across the Pacific. Corporate Planning: Solomon Islands’ Police, National Security and Correctional Services ministry launched its 2025–2028 corporate plan to improve security delivery, workforce capability and border/maritime protection. Media Cooperation: Tavuli News signed a media cooperation agreement with Guizhou Today Convergent Media Group to expand journalism exchanges and training.

Japan Support & Public Service Skills: Solomon Islands signed two Japan grant agreements worth 294 million Japanese Yen to fund public service scholarships and modern malaria diagnosis equipment. PNG–SI Trade, Investment & Security Framework: Papua New Guinea and Solomon Islands signed a 2026–2030 framework to boost trade, investment, infrastructure, policing and security cooperation, with a focus on mining, fisheries and regional engagement. Mining Governance Push: PNG offered to share mining legal and technical expertise as Solomon Islands plans resource growth, aiming to attract investment while protecting national interests. Regional Finance Access: Pacific leaders met in Majuro to progress correspondent banking links, supporting trade, remittances and tourism while strengthening anti-money laundering and resilience. Maritime & Seafarer Priorities: Solomon Islands marked International Day of the Seafarer with renewed focus on maritime investment, workforce development and safer connectivity. Honiara Infrastructure Works: Road improvements in Central Honiara are progressing, including works around Hot Bread Roundabout to improve traffic flow and safety. Agriculture & Food Prices: Slippery cabbage supplies are tightening in Honiara markets as the prolonged dry season and El Niño reduce harvests. Rural Farmers’ Market Access: CEMA support is helping copra and cocoa farmers sell closer to home via local buying points, cutting transport costs. China–Malaita Partnership: Jiangsu Province renewed cooperation with Malaita through education scholarships and livelihood support, including equipment for women’s economic empowerment.

Correspondent Banking: Pacific leaders met in Majuro to push ahead the Pacific Strengthening Correspondent Banking Relationships project, aiming to keep reliable international payment links open for trade, remittances and tourism while tightening anti-money laundering and financing of terrorism work. Bilateral Trade & Security: Solomon Islands PM Matthew Wale and PNG PM James Marape signed a 2026–2030 Framework Agreement on Development and Economic Cooperation, covering trade, investment, infrastructure and security, with Wale also urging stronger Melanesian leadership. Agriculture & Rural Incomes: East Guadalcanal and West Guadalcanal cocoa and copra farmers say CEMA’s rural buying points and support are cutting transport costs and helping them earn more. Ports & Shipping: SIPA says it will expand the Honiara Domestic Port with a new wharf, loading ramps and more reclamation space, while also highlighting how it funds upgrades through savings and partners like the World Bank. Remittances: M-Selen partnered with Rocket Remit to let Solomon Islanders in Australia, New Zealand and the UK send money directly to M-Selen wallets for faster, cheaper transfers. Climate & Food Prices: Honiara markets report slippery cabbage supplies are down as El Niño-driven dry weather reduces harvests, changing bundle sizes and availability. Media Cooperation: Tavuli News signed an agreement with Guizhou Today Convergent Media Group to expand journalism exchanges and training. Maritime Workforce: Solomon Islands marked International Day of the Seafarer with renewed focus on maritime investment, safety and workforce development.

Gender-based violence spotlight: A new global look at violence against women flags Papua New Guinea among the worst performers, with normalization of intimate partner abuse making change harder—an issue that also affects Solomon Islands and the wider Pacific. Regional economic diplomacy: Solomon Islands and Papua New Guinea signed a five-year Framework Agreement on Development and Economic Cooperation (2026–2030), aiming to deepen trade, investment, infrastructure, security and regional engagement. Pacific security competition: Australia’s defence and Pacific affairs minister says strategic competition with China is permanent, while the US is ramping up Pacific push to build resilience and offer alternatives to China’s footprint. Agriculture and rural incomes: East Guadalcanal copra and cocoa farmers praise CEMA for rural buying points that cut transport costs; other Guadalcanal cocoa growers also credit CEMA support for dryers and inputs. Cost pressures from El Niño: Slippery cabbage is running low in Honiara markets as the dry season suppresses harvests, with smaller bundles and higher competition for limited supply. Infrastructure and ports: Road works on Honiara’s Hot Bread Roundabout are progressing, while SIPA plans to expand the Honiara Domestic Port with a new wharf, ramps and further reclamation. Maritime workforce: Solomon Islands marked International Day of the Seafarer with a focus on carrying world trade—and the risks—plus training for disaster rehabilitation and emergency response.

Pacific Security & Diplomacy: Solomon Islands PM Matthew Wale met Papua New Guinea counterpart James Marape in Port Moresby and signed a 2026–2030 Framework Agreement on Development and Economic Cooperation, with talks also covering trade, mining reforms, security and people-to-people links. Regional Competition: Australia’s Pat Conroy says strategic rivalry with China in the Pacific is permanent, while the US is stepping up Pacific engagement to build economic resilience and secure communications. Local Agriculture & Rural Incomes: East Guadalcanal copra and cocoa farmers say CEMA’s rural buying points cut transport costs and make it easier to sell, with similar praise from West Guadalcanal cocoa growers for support like dryers and farming supplies. Fiscal Policy Push: Finance Minister Gordon Darcy Lilo urged a major reset of Solomon Islands’ fiscal and economic policies, citing poverty and inequality concerns from household survey work. Ports & Maritime Economy: SIPA says it will expand the Honiara Domestic Port with a new wharf, ramps and reclamation plans, while also highlighting self-financed infrastructure funding and World Bank-supported berth upgrades. Food Prices & Climate Pressure: Honiara markets report slippery cabbage supplies are down as El Niño-linked dry weather suppresses harvests, shrinking bundles and raising pressure on shoppers. Business & Money Transfers: M-Selen partnered with Rocket Remit to let Solomon Islanders in Australia, New Zealand and the UK send money to SI wallets instantly. Infrastructure & Jobs: Road works on Honiara’s Hot Bread Roundabout are progressing, and the government marked International Day of the Seafarer with renewed focus on maritime investment and workforce development.

Pacific Security & Diplomacy: Solomon Islands and Papua New Guinea signed a five-year Framework Agreement on Development and Economic Cooperation (2026–2030), covering trade, investment, infrastructure, security and regional engagement, as PM Matthew Wale urged PNG to keep leading on Melanesian and Pacific challenges. Regional Competition: Australia’s Pat Conroy says strategic rivalry with China in the Pacific is permanent, while the US is stepping up Pacific engagement to boost resilience and offer alternatives to China’s footprint. Maritime & Infrastructure: Solomon Islands marked International Day of the Seafarer with a focus on “carrying world trade, carrying the risk,” as the Ministry of Infrastructure Development highlighted maritime investment, workforce development and safety; meanwhile, Honiara road works on the Hot Bread Roundabout are progressing, and SIPA is pushing ahead with port upgrades including the new Kulabule Jetty and plans to expand the domestic port. Food & Cost Pressures: Slippery cabbage supplies are tightening in Honiara markets due to prolonged dry weather and El Niño impacts, with smaller bundles being sold to stretch limited stock. Governance & Money: The Auditor General and the World Bank backed a Community Participatory Audit rollout to all 50 constituencies to strengthen oversight of Constituency Development Funds. Business & Payments: M-Selen partnered with Rocket Remit to speed up remittances from Australia, New Zealand and the UK to Solomon Islands via mobile wallets. Local Enforcement: A joint task force began stepping up enforcement of Solomon Islands’ single-use plastic ban, with arrests expected for repeat sellers. Climate Risk Warning: A Green Climate Fund official warned Solomon Islands to prepare for a looming 2026–2027 “super El Niño,” calling for proactive political action.

Pacific Trade & Security: Solomon Islands and Papua New Guinea have signed a 2026–2030 Framework Agreement on Development and Economic Cooperation, with talks in Port Moresby covering trade, mining reforms, security, infrastructure and regional affairs. Regional Leadership: Solomon Islands PM Matthew Wale urged PNG to keep leading on Pacific challenges, including strengthening the Melanesian Spearhead Group. Australia–Pacific Strategy: Australia’s defence and Pacific minister says strategic competition with China is permanent, while the US is also stepping up Pacific engagement to counter China’s influence. Visa & Mobility: Australia will open a ballot for Pacific Engagement Visas from July 1–29, doubling places for Solomon Islanders from 150 to 300 from 2027. Ports & Trade Logistics: Solomon Islands Ports Authority says it will expand the Honiara Domestic Port, including a new wharf and ramps, and says it has funded major works through savings plus World Bank and ADB support. Governance & Oversight: The Auditor General and the World Bank back a Community Participatory Audit rollout to all 50 constituencies to improve transparency in Constituency Development Funds. Business & Compliance: A joint task force has started enforcing the single-use plastic ban, with arrests expected for businesses selling banned items.

Pacific Security & Diplomacy: Australia says strategic competition with China is permanent and warns Beijing is seeking a lasting security footprint, while the US ramps up Pacific engagement to build economic resilience and secure communications. Regional Leadership: Solomon Islands PM Matthew Wale meets PNG counterpart James Marape in Port Moresby to push development, a tailored free trade concept, mining reforms and fuel quota collaboration. Climate Risk: A Green Climate Fund official warns Solomon Islands must act now for a 2026–2027 “super El Niño,” with impacts expected to intensify late 2026 into 2027. Central Banking & Money: CBSI launches a limited-edition $50 commemorative banknote for its 50th Golden Jubilee, highlighting modernization and national economic unity. Ports & Trade Logistics: SIPA commissions Kulabule Jetty and outlines plans to expand the Honiara Domestic Port, including a new wharf, ramps and market-area reclamation to ease congestion. Remittances & Financial Inclusion: M-Selen partners Rocket Remit to let Solomon Islanders in Australia, NZ and the UK send money to SI wallets instantly. Governance & Oversight: The Auditor General and the World Bank back Community Participatory Audits to roll out citizen-led scrutiny of Constituency Development Funds across all 50 constituencies. Local Business Regulation: Solomon Islands steps up enforcement of the single-use plastic ban, with arrests expected for repeat violators. Visa Pathway: Australia opens Pacific Engagement Visa applications from July 1–29 and doubles places from 150 to 300 from 2027.

Maritime & Jobs: PacTow seafarers are being recognised for keeping world trade moving, with tug crews playing a key role in safe port access and faster cargo flow. Central Banking: The Central Bank of Solomon Islands (CBSI) has launched a limited-edition $50 commemorative banknote to mark its 50th Golden Jubilee, highlighting the bank’s shift from traditional to modern money. Remittances: M-Selen has partnered with Rocket Remit to let Solomon Islanders in Australia, New Zealand and the UK send money to Solomon Islands wallets instantly via its agent network. Ports & Trade: SIPA says it will expand the Honiara Domestic Port, including a new wharf, extra loading ramps and planned reclamation near the Central Market, supported by its long-term self-financed approach and World Bank/ADB-linked upgrades. Public Finance Oversight: The Auditor General’s Office is rolling out Community Participatory Audits to all 50 constituencies, backed by the World Bank, to strengthen transparency over Constituency Development Funds. Governance Tensions: Opposition leader Manasseh Sogavare accuses PM Matthew Wale of abusing clause 22(j) to remove senior public servants for political reasons. Business Compliance: Honiara’s plastic ban enforcement is stepping up, with banned single-use plastic sellers facing confiscation, referrals to police and possible arrests. Regional Policy: Australia will double Pacific Engagement Visas for Solomon Islanders from 150 to 300 from 2027, with a ballot opening July 1–29.

Pacific Fuel Shock: A new timeline shows how the fuel crisis rippled across Pacific economies, pushing up diesel and electricity costs and forcing governments to scramble for supply and renewables support. Visa & Labour Mobility: Australia will open a Pacific Engagement Visa ballot from July 1–29, doubling places for Solomon Islanders from 150 to 300 from 2027, with a support service to help applicants. Rural Trade & Copra Income: CEMA is expanding buying agents in provinces like Ugi, cutting freight costs and helping farmers get faster payments; it also plans short-haul landing crafts to move copra and cocoa from remote communities. Public Money Oversight: The Auditor General’s Office is rolling out Community Participatory Audits to all 50 constituencies, backed by the World Bank, to boost transparency around Constituency Development Funds. Business Climate & Cost of Living: PM Matthew Wale urged SICCI and businesses to “agitate” against inefficiencies and high margins, calling out expensive services and warning that costly projects like Tina hydropower are hurting households. Finance & Banking Reform: Finance Minister Gordon Darcy Lilo says Solomon Islands must break the cycle of earning then spending, pushing ideas like a domestic capital market and a Sovereign Wealth Fund, and calling for the return of a national bank to reach rural areas. Health System Upgrade: Solomon Islands is the first in the Pacific to implement the Primary Health Care Performance Initiative framework, aiming to link health spending to real outcomes across provinces. Environment & Enforcement: Honiara’s multi-agency task force is stepping up enforcement of the single-use plastic ban, with arrests expected for businesses selling banned items.

Fuel Crisis Fallout: Pacific governments raised diesel and electricity ceilings as the managed fuel shock rippled through budgets and services, with leaders pushing renewables to avoid future price spikes. Cost of Living Pressure: Solomon Islands PM Matthew Wale urged businesses and state firms to cut margins and reduce charges, naming Solomon Power, Telekom, banks and Solomon Airlines as key targets. Plastic Ban Crackdown: Honiara’s multi-agency task force seized banned single-use plastics; violators face arrest and legal action. Rural Copra Support: CEMA is expanding buying agents in Ugi to cut freight costs and speed farmer payments, with plans for short-haul landing crafts. Public Finance Oversight: The Auditor General and the World Bank back Community Participatory Audits for all 50 constituencies to strengthen Constituency Development Fund transparency. Indigenous Business & Resource Accountability: PM Wale called for stronger procurement support for indigenous firms and tighter rules to ensure mining and other resource deals benefit Solomon Islanders. Health System Upgrade: Solomon Islands became the first Pacific country to roll out the Primary Health Care Performance Initiative framework. Regional Security & Crime: RSIPF intercepted a Belize-flagged cargo vessel suspected in transnational maritime crime as investigations widen.