Vanuatu and ADB
In the Spotlight
Cyclone Pam’s destruction of reefs will reduce availability of fresh fish in Vanuatu. Assistance is urgently needed to quickly install so-called nearshore fish aggregating devices, an effective way of providing food for coastal communities after natural disasters
ADB is providing a $1 million emergency grant, as part of a broader $5 million assistance package to the Government of Vanuatu in the wake of Tropical Cyclone Pam.
Amid the threat of a weakening global economy dampening growth prospects in the Pacific, Vanuatu’s growth outlook of 4% for 2015 remains strong, according to ADB's Pacific Economic Monitor.
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.
Vanuatu’s economic performance has remained strong in recent years, driven primarily by tourism, construction, and aid inflows from development partners. However, the country’s remoteness, small market size, underdeveloped institutions, and limited absorptive capacity are key constraints to implementing assistance programs. The rural economy is primarily agrarian, largely subsistence farming, aside from some copra, beef, cocoa, and kava produced for export.
ADB's country partnership strategy, 2010-2014 and its country operations business plan, 2014-2016 align with the government's Priorities and Action Agenda 2006-2015. Assistance is focused on transport, by providing support for improved connectivity to markets and social services; urban development, through expanding access to sanitation and drainage facilities and improved urban infrastructure; and energy, by supporting greater energy efficiency and renewable energy sources.
0.26(2013) Population in millions
2.3%(2008-2013) Average annual population growth rate
12.7%(2010) Population living below the national poverty line