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Reuters
Reuters
Business
By Lucy Craymer

World Bank warns Solomon Islands of unsustainable debt without reform

The Solomon Islands will need to implement fiscal reforms such as alterations to its tax system and more efficient public spending or its debt levels may become unsustainable, the World Bank said in a report on Wednesday.

With the Solomon Islands implementing a large public investment programme and facing declining logging revenue, fiscal reform will be vital to managing debt levels and securing hard-fought development gains, the bank said.

"Without reform, Solomon Islands’ debt may become unsustainable," the bank said.

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