Video | Agriculture | Confidence | Economy | Energy | Employment | Finance | Media | Property | RBNZ | Science | SOEs | Tax | Technology | Telecoms | Tourism | Transport | Search

 


ADB Helps Marshall Islands Improve Public Service Delivery


ADB Helps Marshall Islands Improve Public Service Delivery And Fiscal Sustainability

MANILA, PHILIPPINES (27 November 2012) – The Asian Development Bank (ADB) has approved a $5 million loan to boost public service delivery and help the Government of the Republic of the Marshall Islands (RMI) achieve fiscal sustainability through improving government finances.

The second subprogram under the RMI Public Sector Program supports the implementation of the government’s reform initiatives and initiates adjustments required to achieve long-term fiscal sustainability. Through the $9.5 million subprogram, approved in August 2010, policy actions were designed and the implementation of immediate reform priority reforms began. Subprogram 2 will complete the implementation of the policy actions. The Ministry of Finance is the executing agency for the program, and will oversee all policy, legal, and regulatory actions to be undertaken in connection with the program.

“Fiscal and structural reforms are needed to achieve fiscal sustainability and generate medium-term economic growth in Marshall Islands,” said Hayden Everett, Financial Sector Specialist in ADB’s Pacific Department.

The RMI economy relies heavily on government expenditure and on foreign grants which fund more than two-thirds of government expenditure. Economic growth over the medium term in the RMI is expected to stay low at around 1.5% and revenues are projected to decline. Because of this low-growth scenario, the RMI needs to adjust to the annual decline of the grants it receives from the United States under the Compact of Free Association, which will expire in 2023.

Structural reforms implemented by the program include the introduction of new legislation covering state-owned enterprises, tax, and fiscal responsibility and debt management; the adoption and implementation of reform plans for selected state-owned enterprises to improve their performance; and the completion of a public sector workforce audit and planning exercise. The tax reforms will boost domestic revenue collection, while implementing state-owned enterprise reforms and reducing public expenditures will contribute to improving the fiscal balance.

ADB, based in Manila, is dedicated to reducing poverty in Asia and the Pacific through inclusive economic growth, environmentally sustainable growth, and regional integration. Established in 1966, it is owned by 67 members – 48 from the region. In 2011, ADB approvals including co-financing totaled $21.7 billion.

*****

ENDS

© Scoop Media

 
 
 
 
 
Business Headlines | Sci-Tech Headlines

 

Statistics: Dairy And Travel Still Our Largest Export Earners

New Zealand earned $2.3 billion more from exports than we spent on imports during the year ended June 2015... total exports of goods and services were $67.5 billion, while total imports were $65.1 billion. More>>

ALSO:

Approval: Air New Zealand And Air China Launch New Alliance Route

Air New Zealand and Air China have today launched joint sales for a new daily direct service between Auckland and Beijing after receiving approval from New Zealand Minister of Transport Hon Simon Bridges to form a strategic alliance. More>>

ALSO:

Money Trading: FX Trader Jin Yuan Finance Warned Over Lack Of Monitoring

Jin Yuan Finance, an Auckland-based foreign exchange trader, has been warned over its lack of anti-money laundering processes in place in the first public notification by the Department of Internal Affairs. More>>

ALSO:

Auckland Surge, Possible Peak: House Values Accelerate At Fastest Annual Pace In 8 Years

New Zealand residential property values rose at their fastest annual pace in eight years in August, pushed higher by overflowing demand in Auckland, which is showing signs speculators think it has reached its peak, according to Quotable Value. More>>

ALSO:

Cash Money: Reserve Bank Launches New $5 And $10 Banknotes

The $5 and $10 final banknotes were revealed at an event at the Bank in Wellington, and will start to be released from mid-October 2015. More>>

ALSO:

Truck Sales Booted: Commerce Commission Files Charges Against Mobile Trader

The Commerce Commission has filed charges against a mobile trader, or truck shop operator, claiming he obtained money from customers by deception and never intended to supply them with the goods they paid for. More>>

ALSO:

Get More From Scoop

 
 
 
 
 
 
 
 
 
Business
Search Scoop  
 
 
Powered by Vodafone
NZ independent news