A DISCIPLINED MACROECONOMIC POLICY
Solid macroeconomic and prudential buffers and sound fiscal and monetary policies have enabled Vanuatu to sustain growth and achieved credible milestones in key disciplines despite negative impacts due to external and natural shocks.
Vanuatu's economy is driven by the Services Sector claiming 60-70 % share of the country's total output on average for the past several with Agriculture and Industry sectors making up the reminder growth composition of 20% and 10% respectively. While Tourism Industry remains the engine for the services sector, other industries such as Internet and Communication Technology (ICT) have achieved fast growth rates and are making significant impact on the country's development plans. International investors have maintained their interest in the country’s non-mineral resources as it continues to make heady-way in ensuring solid macro-economic framework.
- Vanuatu's performance over 10 years averaged 3.8% (2004-2014)
- In 2014 Vanuatu's economy grew 2.3% and is predicted to contract to 2% in 2015 due to tropical cyclone Pam impacting on the countries two driving industries; Tourism and Agriculture. However, growth will resume as a result of the Government's sound response through its disciplined macro economy framework to economic recovery.
- According to recent bench marking reports, the country's economy will rebound in 2016 despite negative impacts from TC Pam, driven by large infrastructure projects financed by development partners getting under way, reconstruction continues and tourism and agriculture sectors recover.
- Described as the ‘silent achiever of the Pacific’, Vanuatu’s economy has outperformed most of its neighbors over the past decade due to the implementation of structural reforms.
- According to World Bank 2016 Doing Business Report; Vanuatu ranks 4th for Getting Credit and 7th for Paying Taxes in the East Asia & Pacific Region.
- And according to Doing Business 2011: Vanuatu Top Ranked Country in Ease of Doing Business Among Pacific Islands