Country strategy and program update (2002-2004) : Vanuatu

The strategy of the Asian Development Bank (ADB) for Vanuatu addresses the underlying institutional constraints on Vanuatu's economic development. These include a lack of consistency and transparency in government decision-making; a high-cost, uncertain business environment; and a continuing lack of fiscal capacity to expand essential public services. In line with the Government's Priorities and Action Agenda (PAA),1 the strategy aims to help (i) build capacity for sound economic management and good governance, (ii) create an enabling environment for private-sector development, and (iii) reduce poverty by improving service delivery to rural populations. It will help increase economic growth to a rate that surpasses population growth. A summary statement of the strategy is in Appendix 1.