FEMM Media Statement
4 Jul 2006 23:38:41
FORUM ECONOMIC MINISTERS MEETING
Honiara, Solomon Islands
3-5 July 2006
JOINT MEDIA STATEMENT
The tenth Forum Economic Ministers Meeting was held in Honiara, Solomon Islands on 3-5 July 2006 to consider the region’s experience with economic growth over the past decade and key regional economic integration issues.
2. Economic Ministers reaffirmed their responsibility to provide leadership on regional economic integration and agreed to facilitate the implementation of the Pacific Plan, particularly in areas pertaining to economic governance.
3. Ministers welcomed the messages on the key economic issues contained in the opening address by the Honourable Prime Minister of the Solomon Islands, Mr Manasseh Sogavare, and the keynote address on Economic Growth: Lessons from the last ten years, and challenges and the opportunities ahead, the presentation on the Pacific 2020 report and the presentation on the cost of doing business.
4. At the regional level Ministers reiterated the potential benefits of labour mobility between Forum members, whilst recognising the importance of domestic policies in promoting sustainable growth. Consistent with the Pacific Plan, they requested further examination of costs and benefits of the temporary movement of labour under PICTA, MSG, and EPA, and to have this issue considered under the PACER study as well. The Ministers directed the Secretariat to provide an update by FEMM 2007.
5. Ministers recognised that labour markets could perform better recognizing that some impacts on the labour market were unrelated to labour market policies or legislation. These include population dynamics; education policies; the domestic investment climate; the impact of globalisation and attitudes towards gender roles.
6. In line with earlier FEMM decisions, greater efforts need to be made to consult with relevant stakeholders, including the private sector, on economic regulation issues. Ministers reaffirmed the crucial role of the private sector for creating growth and jobs, and that Ministers have a responsibility to ensure that a business friendly regulatory environment is given priority.
7. The Forum Secretariat, in coordination with relevant development partners, has been tasked with examining the option of a regional advisory service in areas of Foreign Investment, Competition, Access and Price Regulation, and Consumer Protection and Fair Trading. The Secretariat is to report back to FEMM 2007 with concrete options for progressing this initiative.
8. Ministers noted the 2006 Biennial FEMM Stocktake which highlighted the status of the implementation of previous FEMM decisions in Forum Island Countries, particularly over the past two years, in the areas of good governance, economic reform, financial reform and public enterprises.
9. Ministers noted that FICs have progressed the most in the implementation of the Forum Eight Principles of Accountability, with significant movement over the last two years. The implementation of the FEMM principles relating to financial and economic reforms appear to be progressing well, although Ministers noted that the least implementation has occurred in the progress towards best practice principles for public enterprises, and encouraged FICs to advance progress in those areas needing attention.
10. Ministers welcomed the presentation on the Eastern Caribbean Telecommunications Authority (ECTEL), and the regional approach taken to liberalise the telecommunications sector in five countries in the Eastern Caribbean region which resulted in lower prices and improved quality and provision of services.
11. Ministers referred the ECTEL case study to the Forum Information, Communication and Technology (ICT) Ministers for further examination and requested a report back to FEMM in 2007.
12. FEMM was attended by Ministers and Heads of Delegation from Australia, Cook Islands, Federated States of Micronesia, Fiji, Kiribati, Nauru, New Zealand, Niue, Palau, Papua New Guinea, Republic of the Marshall Islands, Solomon Islands, Samoa, Tonga, Tuvalu and Vanuatu and representatives from regional and international organisations, including the Pacific Islands Private Sector Organisation.
13. Ministers conveyed their appreciation to the Government and people of the Solomon Islands for their warm hospitality and excellent meeting arrangements. The 2007 FEMM will be hosted by Palau. Honiara, Solomon Islands 5 July 2006
2006 FEMM Retreat Decisions
Initiative 12.1
Support or establish the regional consolidation of commitments to key institutions such as audit and ombudsmen offices, customs, leadership codes, anti-corruption institutions and departments of attorneys general; including through judicial training and education
Report back in 2007
Initiative 12.2
Support the Forum Principles of Good Leadership and Accountability.
Initiative 12.4
Carry out the study as soon as possible.
2006-2008 Development of an equitable leadership enhancement and advancement programme as well promoting compliance with the Forum principles and codes. On-going
Upgrade and extend country and regional statistical information systems and databases across all sectors. 2006-2008 Upgrading country and regional statistical information systems and databases. Coverage includes harmonisation of standards, policies for access, information sharing, dissemination of information on poverty, judicial information and technology services and the retention of historically significant documents.
Reporting back in 2007 Progress the upgrading of country and regional statistical information services systems and databases.
Initiative 12.7
Develop common approaches to financial regulation, including through alignment of legislation and/ or pursuit of common prudential capacities.
2006-2008 Reporting back in 2007 Development and adoption of best practice models on financial regulation. Scoping study to commence as soon as possible.
Initiative 12.8
Establish an accountable and independent macro-economic and micro-economic technical assistance mechanism (including statistics), to strengthen treasury and finance functions and provide economic analysis.
Reporting back in 2007
Beyond 2006-2008Conduct scoping study to consider the establishment of an accountable and independent macro-economic and micro-economic technical assistance mechanism.
