Pacific

ADB hails Vanuatu's economic recovery but more aid needed

08:43 am on 2 December 2015

Vanuatu's tourism industry has bounced back well from Cyclone Pam, according to the Asian Development Bank, but it needs five times more development aid to rebuild well.

Villagers on Tanna Island in Vanuatu learn to mill their own timber as part of the cyclone rebuild. Photo: RNZI Courtesy of UNDP Vanuatu

A senior economist, Christopher Edmonds, says cruise ships are back at pre-cyclone levels and air arrivals have also recovered.

But it's the exports that have given the economy a boost, with a near 40-percent rise over the year to July.

Mr Edmonds says that's mainly due to strong coconut and timber exports and the weakening of the Vatu against the US dollar.

But he says rebuilding will require more international support.

"They have a variety of infrastructure plans so it might be the case of rebuild better than what was lost so it is an opportunity in that regard. Although you have to put this against the fact that estimated development partner contributions for Cyclone Pam recovery amount to roughly a fifth of what is needed. And that's typical for disasters."

Christopher Edmonds.