Honiara city council admits revenue loss due to burning of China Town last year

The Mayor of Solomon Islands capital, Honiara, says his council has lost half its revenue source from the damages caused by political rioting last year.

The Chinatown business district was the target of rioters angry with the election of Snyder Rini as Prime Minister in April last year.

Mr Rini eventually resigned and was replaced by current Prime Minister, Manasseh Sogavare.

Honiara's Chinatown has yet to be rebuilt because of a standoff between the Chinese landlords and Honiara's planning authorities.

Honiara Mayor, Alfred Maetia, says the lack of revenue has impacted on Honiara residents with a serious setback in city services.

"Today more than 51 percent of Honiara's revenue is not forthcoming since Chinatown was burnt down and still cannot be built," Mr Maetia said.

"The national government lost its revenue, the Honiara city council lost its revenue.

"When these revenues are not forthcoming, services are setback."

Source: Radio Australia