MANILA (XINHUA) – The Pacific subregion economy is forecast to grow 3.3 per cent this year and four per cent in 2025, according to an Asian Development Bank (ADB) report released yesterday.
The Pacific Economic Monitor (PEM) said the recovery of resource extraction in Papua New Guinea, stable visitor arrivals in most tourism-dependent economies, and stimulus from public infrastructure projects will drive the growth.
However, the report also cautioned several downside risks, including labour shortages, reduced fiscal space, continued exposure to disaster risk, and volatility in global commodity prices and supply chains.
The latest PEM, a biannual review by the ADB on economic developments and policy issues of 14 developing economies in the Pacific, explores various aspects of building resilience in the Pacific.
The report spotlights building resilient infrastructure, bolstering climate resilience, and strengthening public financial management within the unique Pacific context.
Another policy brief highlights the need to understand the vulnerability and fragility of Pacific small island developing states to develop solutions for resilience.
