Thanks for the good times now back to reality and debt! MSG leaders head home and regime left to deal with money woes.
Fiji’s Reserve Bank has transferred $38.9 million to the illegal government of Frank Bainimarama.
According to a statement from the Bank, the money is made up of the Bank’s entire profits of $21.5m for the financial year ended 31 December 2010 and $17.4m, which represents one fifth of the balance of the Revaluation Reserve Account.
Quote: "The RBF Board decided not to set aside any profit to General Reserves but instead transfer the full amount to Government."
This year's transfer is just slightly under the 2010 transfer for the 2009 financial year of $39.2m. The profit was $16.6m and one-fifth of the Revaluation Reserve was $22.6m.
The acting Governor and Chairman of the Reserve Bank of Fiji Board, Barry Whiteside, is quoted in the statement as saying the Bank’s financial performance in 2010 was achieved in a challenging global environment.
He says the financial outcome in 2010 was significantly better than what was originally budgeted.
He attributed this to the higher than expected level of foreign reserves, which was $1.3 billion at the end of 2010 compared with $1.1 billion a year ago.
According to Whiteside, the audited accounts and operations report of the Bank for the 2010 fiscal year were submitted to the Minister for Finance on March 31, in accordance with the Reserve Bank of Fiji Act.
The Board thanked the staff of the Bank for this achievement and extended its appreciation to the Bank’s stakeholders in assisting the Bank meet its objectives in 2010.
In the FijiVillage today, however, the Permanent Secretary for Finance, Filimone Wawabaca, said the regime has to borrow money from abroad to improve its services and lift the standard of living.
The comment was made during a panel discussion on the recent successful international bond issue of $US 250 million to the regime.
Waqabaca is quoted as saying government funds alone are not enough to run the country.
He also said the bond will help reduce the illegal government's debt.
The regime raised FJ$500 million in foreign bonds to pay off $300 million on a foreign bond raised in 2006, with the remaining FJ$200 million set aside for capital projects.