Western Samoa optimistic

about the future

From R. F. Rankin, in Apia Western Samoa’s sixth anniversary of independence, in the first week of June, drew near record crowds to Apia.

Thousands of people fined the waterfront for the longboat and canoe races which were followed by a parade of floats carrying competitors in a Queen Carnival. The ceremonial opening of Parliament and raising of the flag at Mulinuu by Prime Minister Mataafa attracted a large crowd.

Bolstering the festive air of the adversary was a spirit of optimism lout the future—optimism based on ore solid grounds than at any time the past.

Things are starting to look so good at the Minister of Finance, G. F. D. itham, has stated that the country oks to be on the verge of an conomic breakthrough”.

There are plenty of facts and ures to support this belief. Agri- Itural production and export cam 's are showing a spectacular im >vement; export earnings are well and imports down; and a number new and projected enterprises hold t exciting prospects for the >nomic welfare of the country, rhe copra exports of 5,499 tons, rth $929,599, in the first five mths of 1968 have already ex ded the value of the whole of t year’s production of 7,405 tons ich earned $927,966.

Mr. Betham has said that if the sent favourable prices continue it possible that copra earnings this r could exceed $2 million—the best since 1959. -ocoa has been adversely affected the hurricane and lower prices ke it uncertain whether figures will

eed last year’s ($1,461,636).

Increase

)n the other hand the outlook for anas is bright and with many ' areas expected to come into pro tion over the next few months ort figures will show a big in ise from now until the end of the r, lp to the end of May exports lied 36,492 cases, worth $103,465, ipared with 29,498 cases, worth ,124, for the same period last derail exports for the January f Period improved $485,053 to

$1,553,329 on last year, while imports of $1,953,344 were down by $162,048 giving an imbalance of trade of $400,015 compared with $1,047,116 for the first five months of last year.

Agriculture is not the only area in which improvements are becoming evident.

The development of the tourist industry, the timber industry, and many others requiring capital in jection, are likely to provide the scope for greater economic attain ment and security.

Tourist figures of North American visitors are over 100 per cent, up on last year, and Potlatch Forest Inc. is expected to start its $5 million timber project on Savaii later this year.

Some improvement in the credit situation will come about as a result of an increase, announced late in

May, of the share capital in the Bank of Western Samoa.

The Bank of Western Samoa, owned 45 per cent, by the Govern ment of Western Samoa and 55 per cent by the Bank of New Zealand, almost doubled its capital from $280,000 to $500,000. To assist Samoa take up its additional capital, the Bank of New Zealand lent the government $99,000.

Finance Minister Betham said that the primary purpose of this increase was to make additional funds avail able for development purposes.

A project evaluation team from the Asian Development Bank arrived on a one month visit to Apia just two months after Samoa made ap plication to the Bank for assistance.

Nobody is officially mentioning any figure, but it is rumoured that loan money well in excess of $1 mil lion is being contemplated.

It is generally expected that money for projects approved will be made available before the end of this year.

Meanwhile, Prime Minister Mataafa left for Japan early in June on a 10-day goodwill visit at the invitation of the Japanese govern ment.

In Apia, officials were at pains to point out that the visit was strictly goodwill, but nobody doubted that Samoa would like to get a share of the generous Japanese aid to develop ing countries.

Japanese embassy officials from Wellington paid a short inspection trip to Samoa recently during which they were taken round both islands, and the general opinion after their departure was that Japan would view any request for aid sympathetically particularly in the field of heavy

roadmaking equipment.

Prime Minister Mataafa