The country’s economic outlook is looking positive with the Central Bank of Samoa (CBS) on Friday advising that the economy’s recovery is on track. CBS released a press statement that quoted data showing positive growth in the country’s various economic sectors.

Details of Samoa’s positive growth were reported in a story in yesterday’s edition of the Samoa Observer, with the CBS saying annual Real GDP growth is presently around 3.2 per cent at the end of March 2023 and is expected to be around 6.5 per cent by June this year.

The central bank noted strong growth in commerce, business services, personal and other services, accommodation and restaurants and transport services. 

"In addition, visitor earnings, remittances and exports of goods receipts have increased significantly in FY 2022/2023, adding to the strong economic recovery so far,” said CBS.

However, there have been downsides to this rapid economic recovery, with the central bank pointing to rising inflation, driven by increasing local demand for goods and services. Consequently, the price of agricultural produce and fish has spiked over the past seven months, making life more costly for ordinary citizens. Price control mechanisms by the relevant Government agencies will need to be activated. But officials cannot know the realities on the ground unless officers are tasked to physically check prices in all local shops and supermarkets.

This is why the decision of the Minister of Public Enterprises, Leatinu'u Wayne So'oialo to ask the former Electric Power Corporation (E.P.C.) Board chairman Toleafoa Douglas Creevey to step down makes sense, especially for critical Government ministries and agencies which includes the State-owned electricity provider.

Leatinuu said the former E.P.C. Board chairman was asked to resign because he had been chairing the meetings virtually from New Zealand. He said the appointment of Toleafoa as the E.P.C. Board chairman was on the understanding that he resides in Samoa and be physically in the country to chair board meetings. 

“He wanted to chair meetings while in New Zealand through Zoom and I don’t accept that,” said the Minister.

While not disputing that Toleafoa is qualified for the position, Leatinuu said he could not accept him chairing the board meetings virtually, and not be on the ground to address ongoing and current issues faced by the E.P.C. 

Ensuring continuity in the daily provision of electricity services – throughout the length and breadth of Samoa – is essential to the country’s economic recovery from the pandemic. And top public officials who are in charge of essential services such as electricity should be on the ground and not working remotely from abroad.

We also acknowledge the former E.P.C. Board Chairman for agreeing to resign from the position after the Minister raised his concerns. 

The policy that Leatinuu has enforced – promoting the need for Board Chairs of State-owned entities (SOEs) to be in-country and be readily available to respond when issues arise pertaining to their respective organisations – should be taken on board and replicated by other Cabinet Ministers. 

With the positive scorecard that CBS has given of the Samoan economy, in its latest Monetary Policy brief issued last Friday, it should be all hands on deck for the country’s civil service and top public officials.

The central bank has specifically made reference to positive growth in commerce, business services, personal and other services, accommodation and restaurants and transport services. But what about the other sectors and how can they be brought on board to capitalise on this momentum?

As an economy that is heavily tourism-dependent, it is not surprising to see the service and hospitality industries take off, following the Government’s decision last year to reopen the country’s international borders in August 2022.

But what about Samoa’s agriculture and fisheries sectors, which the current and former administrations have over the years talked highlighted their potential, without making significant progress in terms of investment and support?

The economic update from CBS issued last Friday confirms that the rebuilding of Samoa’s economy is on track following the pandemic, but we as a nation are yet to realise the full potential of some sectors, and the country’s civil servants and top officials have the responsibility to make that happen for the benefit of the country and its people.