Where Ram's Money Comes From

No phosphate money has been paid directly into the hands of the Rabi Island people since 1959, when the Rabi Council ceased distributing phosphate annuities which began many years ago.

But the council has recently decided that living conditions on the island are so poor that this year they will pay cash annuities again.

Adults will each receive £8 a year and children will receive £4. To pay the annuities, which will cost about £FIO,OOO, the council will make drastic cuts in the works programme, and on maintenance of buildings and machinery, and on staff.

Rabi has a budget of about £50,000, about £44,000 of which comes from the phosphate, either in the form of royalties or special grants for housing. The rest comes from local taxes and charges.

All money is spent on local works and salaries, including the salary of the European adviser. Average wage for Rabi Council employees is £3 a week, £5 for skilled men such as foremen, compared with a minimum basic wage on Nauru of £lO.

Wages paid by the council or the Rabi co-operative, together with money received by the islanders for cutting copra (all copra is sold to the co-operative ) are the only sources of cash income on the island.

This year a hurricane damaged about 40 per cent, of RabVs palms and copra production has been seriously reduced.