logo
Australia offers fresh Solomons aid ahead of PIF Summit

Australia offers fresh Solomons aid ahead of PIF Summit

Perth Now21 hours ago

Australia has announced $A11 million in support to improve roads in Solomon Islands as it prepares to host the Pacific Islands Forum leaders summit.
Pacific Island Minister Pat Conroy unveiled the pledge in Honiara on Thursday along with a condition aimed squarely at Australia's geopolitical rival China.
Australian officials are privately critical of Chinese foreign aid delivered by migrant workers in the Pacific, with Mr Conroy saying this funding would avoid the practice.
"We are making sure our projects are delivered by local companies," he said.
"This is the best way we can ensure economic benefits flow to Solomon Islands from day one, and that these projects create more jobs for locals."
China is also delivering road upgrades in the notoriously choked-up Honiara, which relies on one key arterial road to service the capital's business districts and airport.
Poor drainage also means that heavy rain can produce flooding to the central city.
However, no country donates more aid to the Solomon Islands than Australia, a fact the government trumpets on billboards on the main Mendana Avenue.
Australia's fresh funding will go towards 12 roads: four in the northern island of Malaita and eight in Honiara, the host of the regional summit in September.
"We know the impact of deteriorating roads for getting to work, getting produce to market, getting children and family members to school or health services," Mr Conroy said.
"Communities along Malaita's South Road were effectively cut off from essential services for over two years due to the South Road being impassable.
"Farmers of Malaita's sweetest pineapples could not get to Auki market, women could not get to hospital for complicated child births, many children stopped going to school, and the price of goods doubled.
"The reopening of the South Road last year – with support from Australia and the great work of local contractors – has restored that vital link from Auki to Bina and beyond."
Mr Conroy announced another $A7 million in aid for the Tina River Hydro scheme, taking its total support for the renewable energy project to $A70 million.
When complete, the mighty dam is expected to power two-thirds of Honiara's energy needs.
The government has also pledged to double funding for surveillance of illegal fishing in the region,.
The announcements wrapped up Mr Conroy's three-nation swing through the Pacific this week, including visits to Fiji and Papua New Guinea.
In Suva, Mr Conroy became the first Australian minister invited to a Melanesian Spearhead Group meeting, holding bilateral talks with the prime ministers from all four member nations: Fiji, Vanuatu, PNG and Solomon Islands.
The trip also took in Port Moresby, coinciding with the announcement of the inaugural board for the expansion NRL side entering the league.

Orange background

Try Our AI Features

Explore what Daily8 AI can do for you:

Comments

No comments yet...

Related Articles

US Treasury Secretary Scott Bessent calls for ‘revenge tax' to be scrapped after meeting with Albanese, Chalmers
US Treasury Secretary Scott Bessent calls for ‘revenge tax' to be scrapped after meeting with Albanese, Chalmers

Sky News AU

time34 minutes ago

  • Sky News AU

US Treasury Secretary Scott Bessent calls for ‘revenge tax' to be scrapped after meeting with Albanese, Chalmers

US Treasury Secretary Scott Bessent has called on Republican lawmakers to scrap section 899 – known as the 'revenge tax' - after Prime Minister Anthony Albanese and Treasurer Jim Chalmers spoke to him directly. The section 899 in President Donald Trump's 'big beautiful bill' would allow the US to implement retaliatory taxes on nations his administration believes unfairly treats US firms – such as tech giants Meta and Alphabet. On Friday, Bessent posted on X that after months of productive dialogue, a 'joint understanding' among G7 countries would be announced. Bessent said that under the agreement, the 15 per cent global corporate minimum tax would not apply to US companies under "Pillar 2" of the OECD tax deal. He added: "We will work cooperatively to implement this agreement across the OECD-G20 Inclusive Framework in coming weeks and months." On Friday, Mr Albanese told reporters in Sydney he had spoken to Secretary Bessent on the sidelines of the G7 in Canada earlier this month about section 899. "This would (have had an) adverse impact on Australian investment if it had had been implemented, particularly on investment from superannuation companies," Mr Albanese said. "One of the things that we held earlier this year in Washington DC was a round table of Australian investment funds that are willing and keen to invest in the United States - it's just one way in which the Australia-US economic relationship is an important one." Treasurer Jim Chalmers on Wednesday told reporters he had discussed section 899 with US Treasury Secretary Scott Bessent and made Australia's case against the looming tax. 'I've engaged a lot with Australian investors over the course of the last couple of weeks on their concerns,' Mr Chalmers said. 'I was able to represent them and raise their concerns directly with US Treasury Secretary Bessent and I know that the Treasury Secretary is very focused on these issues as well. 'We hope that they can be resolved. We do not want to see our investors and our funds unfairly treated or disadvantaged when it comes to developments out of the US Congress.' Investors have expressed caution about investing in the United States over growing uncertainty surrounding section 899. Bessent's announcement comes after prominent House Republicans said on Wednesday that Section 899, which drew opposition among some in the party and US corporate interests, could be removed from the bill. Republicans are pushing for final votes as early as Saturday on the sweeping fiscal package, which extends 2017 tax cuts for individuals and adds new breaks, so that Trump can sign it into law before the July 4 U.S. Independence Day holiday. "This understanding with our G7 partners provides greater certainty and stability for the global economy and will enhance growth and investment in the United States and beyond," Bessent said. AMP economist My Bui said the 'revenge taxes' would make the US a 'less attractive' investment destination and that Australian super funds are rethinking how they will deploy their capital in the future. -with Reuters

Super funds spared multi-billion dollar 'revenge tax'
Super funds spared multi-billion dollar 'revenge tax'

Perth Now

timean hour ago

  • Perth Now

Super funds spared multi-billion dollar 'revenge tax'

Australian superannuation funds have been spared a multi-billion dollar hit after Treasury Secretary Scott Bessent announced the US would drop a so-called "revenge tax" on foreign investors. The super industry had been ringing alarm bells over section 899 of President Donald Trump's proposed big beautiful bill, which would have raised taxes by up to 15 percentage points on foreign entities in retaliation to "unfair taxes" other countries had imposed on US companies. But Mr Bessent revealed the section would be removed from the bill in a social media post early on Friday, after a deal was reached with G7 nations allowing the US to back out of a global minimum tax rate. "After months of productive dialogue with other countries on the OECD Global Tax Deal, we will announce a joint understanding among G7 countries that defends American interests," he wrote on X. "OECD Pillar 2 taxes will not apply to U.S. companies, and we will work cooperatively to implement this agreement across the OECD-G20 Inclusive Framework in coming weeks and months. "Based on this progress and understanding, I have asked the Senate and House to remove the Section 899 protective measure from consideration in the One, Big, Beautiful Bill." The announcement was met with a sigh of relief from the $4.2 trillion Australian superannuation industry, which would have been particularly exposed to the tax, given it holds more than $600 billion worth of US assets. Modelling conducted for the Association of Superannuation Funds of Australia by consulting firm Mandala found it could have cut $3.5 billion from returns over the first four years. Treasurer Jim Chalmers raised Australia's concerns about the tax during a phone call with Mr Bessent on Wednesday, when he told reporters he was hopeful of positive development in the coming days. "We do not want to see our investors and our funds unfairly treated or disadvantaged when it comes to developments out of the US Congress," he said. "And once again, I'm very grateful to Scott Bessent for hearing me out and for also undertaking to make what progress he can to try and resolve these issues. "I'm confident he understands these issues." In a speech in June, Future Fund chair Greg Combet said US investments were a less attractive proposition for the sovereign wealth fund, in part because of the proposed tax hike contained in Mr Trump's "big beautiful bill".

Should commercial surrogacy be allowed in Australia?
Should commercial surrogacy be allowed in Australia?

ABC News

timean hour ago

  • ABC News

Should commercial surrogacy be allowed in Australia?

A review into Australia's surrogacy laws is currently looking at whether commercial surrogacy should be allowed in Australia. Advocates say the number of couples going overseas for surrogacy arrangements has increased significantly, and allowing Australian surrogates to get paid would make it more accessible for intended parents here. But those who want to see commercial surrogacy stay banned, say allowing it would lead to exploitation.

DOWNLOAD THE APP

Get Started Now: Download the App

Ready to dive into a world of global content with local flavor? Download Daily8 app today from your preferred app store and start exploring.
app-storeplay-store