$5 million funding deal for Samoa

SAMOA – The World Bank’ has approved US$5 million for Samoa’s Second Fiscal and Economic Reform Operation, which will strengthen public finances, support economic growth and help foster increased climate resilience, it says.

The operation is structured around three objectives closely aligned with current government priorities – improve fiscal management in the areas of debt, public procurement and revenue collection; strengthen the payments system, tourism sector policy and private sector development as foundations for more robust economic growth, and improve the monitoring, reporting and coordination of climate resilience activities across Samoa.

“The Government of Samoa is continuing its programme of ambitious reforms to help consolidate our fiscal position, boost economic growth, and build our resilience to natural disasters and climate change,” said Minister of Finance, Sili Epa Tuioti.

“We are pleased to have the support of the World Bank as we pursue our development goals, as articulated in the Strategy for the Development of Samoa, to improve the quality of life for all.”

As the second in a series of two development policy operations, the funding is expected to contribute to improved compliance with Samoa’s debt strategy; increased public procurement efficiency; improved tax compliance; a more efficient payments system making better use of technology; improved tourism industry performance; greater private participation in state-owned enterprises, and stronger monitoring and coordination of initiatives to increase climate resilience.

“This second operation supports the Government of Samoa’s commitment to achieving more resilient and sustainable economic growth,” said Robert Utz, World Bank acting country director for Timor-Leste, Papua New Guinea and the Pacific Islands.

“Stronger public finances, more robust economic growth and increased resilience to climate and weather-related shocks are particularly important for boosting shared prosperity in Samoa.”

The Second Economic Fiscal and Economic Reform Operation is funded through a US$5 million credit from the International Development Association (IDA), the World Bank’s fund for the poorest countries.

- Samoa Observer