Nauru and ADB
In the Spotlight
A grant cofinanced by ADB and the European Union will support the delivery of reliable, sustainable electricity to the people of Nauru.
ADB-wide sovereign approvals in the Pacific has risen substantially since 2010, reaching almost $1.8 billion in 2013. ADB is assessing and updating the Pacific Approach, which will continue to guide its operations in the region.
Engaging the private sector through public-private partnerships and privatization improves the performance and service delivery of state-owned enterprises, according to a new report by ADB.
The economy of Nauru grew strongly in 2014, boosted by the reopening of Australia’s Regional Processing Centre for asylum seekers, and the liquidation of the Nauru Phosphate Royalties Trust. Despite these increases in revenue, Nauru faces many serious development challenges. The country has almost no private sector, little arable land, limited freshwater supply, and extremely high levels of debt. The government also has limited sources of internal revenue. Education outcomes are improving, but are still poor by international standards, and have contributed to high rates of youth unemployment. Meanwhile, Nauru’s levels of noncommunicable diseases such as diabetes and cancer, are among the highest in the world.
The country operations business plan, 2015-2017 continues the strategic direction of ADB in Nauru in the areas of public sector management and energy, and introduces transport into the program with a port project planned for 2016.