Solomon Islands

In Solomon Islands, PSDI is supporting reforms that address ongoing constraints to business activity and investment, and promote inclusive, sustainable private-sector growth. 

Solomon Islands has actively sought and implemented reform initiatives with significant support from PSDI. We have worked with the Government of Solomon Islands to: 

  • Develop a secured transactions framework, including the development of an electronic registry and providing ongoing support to lenders;

  • Support the Central Bank of Solomon Islands and the Ministry of Finance and Treasury in the preparation of a new credit union legislation;

  • Modernize business laws and registration processes, including: assisting in the development of a new Companies Act and the launching of an online companies registry; supporting the introduction of a community company structure; simplifying the business name registration process; and assisting in the creation of a modernized customs and excise regime;

  • Strengthen competition and consumer protection, through the development of a competition policy and providing support for a Competition Bill;

  • Strengthening state-owned enterprise policy, performance, governance, and transparency;

  • Promoting women’s economic empowerment, through pilot projects, and legislative review; and

  • Supporting reform through advocacy and analysis, including completing a private sector assessment for Solomon Islands in 2016. 

Resources and Spending

Solomon Islands has been a leading reformer in the Pacific region, actively seeking and implementing reform initiatives with significant support from PSDI. At $5.7 million, it has received the second-largest share of PSDI funds, behind Papua New Guinea.

Business law reform activities account for 43% of PSDI’s spending in Solomon Islands since 2007, funding initiatives such as customs and company law reform, including the procurement of an online companies registry. Initiatives supporting state-owned enterprise (SOE) reform account for 25% of overall spending and have led to the installation of a community service obligation framework, the development of shared accounting services,  the successful privatization of three SOEs, and a new SOE ownership policy. Financing growth initiatives, which account for 16% of overall spending, have underpinned secured transactions reform, a review of the regulatory framework for microfinance and mobile banking, strengthening the National Provident Fund, and the development of a Credit Union Policy. 

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On this website, $ refers to US dollars unless otherwise stated.

For detailed information on PSDI activities in Solomon Islands, download the April 2020 PSDI Country Overview here.

Solomon Islands at a glance

Secured transaction framework

PSDI supported the enactment of the Secured Transactions Bill in 2008, and the implementation of an electronic registry in 2009.

11,000 securities registered

As of end-2019, more than 11,000 security interests over movable assets to be used as collateral for loans have been registered in Solomon Islands using the PSDI-supported secured transactions framework.

Online registry launched

PSDI assistance and extended advocacy saw the Companies Act passed in 2010 and an online company registry, Company Haus, launched.

44 day reduction

in the time needed to register a new company, after the establishment of the Company Haus electronic company registry.

264% increase

in new company registrations following the implementation of the Company Haus electronic company registry.

New SOE Policy

endorsed by Cabinet in November 2018 to help ensure Solomon Islands’ SOEs remain among the best performing in the Pacific.
Latest News
16 December 2021
Solomon Finance ready to operate in 2022

THE ISLAND SUN: Solomon Finance Limited, a credit institution owned by Solomon Islands National Provident Fund (SINPF) and supported by PSDI, is expected to commence its lending operation in 2022.

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15 December 2021
National Provident Fund's bank granted license

SOLOMON STAR NEWS: The Solomon Islands National Provident Fund-owned and PSDI-supported Solomon Finance Limited (SFL) has been granted a credit license from the Central Bank of Solomon Islands.

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14 December 2021
Solomon Finance Granted Credit License by CBSI

SOLOMON TIMES: A banking license has been granted to the PSDI-supported Solomon Finance Limited (SFL) to conduct banking business as a credit institution.

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26 May 2021
The Long Game - How Ongoing Support Opened the Way for Private Sector Growth in Solomon Islands

PSDI is working with the Government of Solomon Islands to encourage and expand the private sector, and to share the benefits of private sector activity.

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24 January 2019
New SOE Policy Will Secure Solomon Islands' Legacy as Pacific's Leading Investment Manager — ADB

HONIARA, SOLOMON ISLANDS (24 January 2019) — Solomon Islands’ new, commercially oriented state-owned enterprise (SOE) policy will help ensure the government’s public investments remain efficient and profitable, says the Asian Development Bank (ADB).

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19 February 2018
Solomon Islands First Melanesian Country to Publish Public Enterprise Performance Results Online

HONIARA, SOLOMON ISLANDS (19 February 2018) — In a first for Melanesia, financial results and other key information from Solomon Islands’ $230 million state-owned enterprise (SOE) portfolio can now be viewed online.

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Key Publications
PSDI Infographic Brochure 2022
PSDI Infographic Brochure 2022
This infographic brochure illustrates PSDI’s overall work and key achievements.
State-Owned Enterprises: Board Nomination Practices in the Pacific
State-Owned Enterprises: Board Nomination Practices in the P...
This policy brief challenges policymakers to consider a transparent and objective board nomination process as critical to an SOE’s prospects of achieving its commercial and operational goals.
Economic Empowerment of Women 2022
Economic Empowerment of Women 2022
This infographic brochure illustrates PSDI’s work and key achievements in its Economic Empowerment of Women focus area.
Solomon Islands | Pacific Tourism Sector Snapshot
Solomon Islands | Pacific Tourism Sector Snapshot
This tourism sector snapshot for Solomon Islands provides an overview of the tourism sector before the COVID-19 pandemic and identifies new and existing challenges and opportunities for the tourism industry.
Looking Forward Vol. 1: Evaluating the Challenges for Pacific Tourism after COVID-19
Looking Forward Vol. 1: Evaluating the Challenges for Pacifi...
This PSDI tourism sector assessment provides an overview of Pacific tourism before the COVID-19 pandemic, identifies challenges, and provides recommendations for a sustainable post-pandemic recovery.
Leadership Matters: Benchmarking Women's Business Leadership in the Pacific
Leadership Matters: Benchmarking Women's Business Leadership...
Leadership Matters: Benchmarking Women in Business Leadership in the Pacific collects and analyzes data on women’s representation on boards and in senior management in the 14 Pacific developing member countries of the Asian Development Bank.