Fiji, March 20 -- The International Monetary Fund (IMF) says the Solomon Islands economy grew in 2025 but faces slower growth and rising risks linked to global tensions and domestic fiscal pressures.

An IMF team led by Masafumi Yabara visited the country from 09 to 20 March for the 2026 Article IV Consultation.

Staff estimates that the economy grew by 3.5 percent in 2025, driven by agriculture and gold production.

The IMF said growth is expected to slow in 2026, with inflation rising.

"The conflict in the Middle East is projected to slow growth to 2.7 percent in 2026 and raise inflation to 4.8 percent on average."

It warned that continued global instability could further weaken the outlook.

"A prolonged conflict in the Middle East c...