Marshall Islands, Republic of the

Inflation soared to region-wide highs in 2008 driven by the economy's remoteness and high dependence on imports

High prices for imported fuel, coupled with price increases for electricity, transportation, and rice, propelled inflation to 29.4% year on year in the third quarter of 2008. This was the highest inflation rate in the Pacific, an outcome that reflected the economy's remoteness and very high import dependency. Read the full report.