Vanuatu profile

Demography and Health

Vanuatu is a small Pacific island nation whose population was about 327,777 in 2024. The demographic profile is shaped by a relatively high birth rate of 28.1 per 1,000 people (2023) and a crude death rate of 5.08 per 1,000 (2023), signaling ongoing natural population growth with a likely youthful age structure. Life expectancy at birth stands at 71.5 years (2023), and mortality among children under five is 16.8 per 1,000 live births (2023), indicators that point to ongoing health challenges despite overall gains. The net migration rate of -43.0 per 1,000 (2024) suggests more people leaving than entering, which can influence labor supply, skill development, and long‑term demographic dynamics. Nutrition and health indicators echo mixed progress: prevalence of undernourishment is 7.9% (2022), while health expenditure remains modest at 4.15% of GDP (2022) with domestic general health expenditure per capita in PPP terms at 55.6 international dollars (2022). Internet access stands at 45.7% of the population (2023), hinting at a growing but still uneven digital footprint that can affect access to health information and services. The suicide mortality rate is 15.7 per 100,000 population (2021), underscoring the importance of mental health within the broader health agenda. Taken together, these figures describe a country with a young but outward‑oriented population, moderate health outcomes, and an ongoing need to strengthen health systems, nutrition security, and mental health services while managing the implications of out‑migration.

Economy, Trade and Investment

Vanuatu’s economy is very small and open. GDP per capita stands at 3,543 current US dollars (2024), with GDP per capita at purchasing power parity around 3,602 international dollars (2024), signaling a modest income level by international standards. Exports of goods and services amounted to 9.65% of GDP in 2022, while imports consumed 55.5% of GDP in the same year, indicating a substantial import dependence and a narrow export base. Inflation was elevated at 11.2% in 2023, pointing to macroeconomic pressures that can affect household purchasing power and business costs. The current account balance was negative at −12.4% of GDP in 2022, reflecting a deficit that may rely on external financing or financing from reserves. Foreign direct investment net inflows were 0.823% of GDP in 2023, signaling modest investment activity and limited capital deepening from foreign sources. The population is 327,777 in 2024, and the combination of a small economy, high import reliance, and negative net migration underscores vulnerability to external shocks such as global economic cycles, commodity price shifts, or tourism fluctuations. Total greenhouse gas emissions per capita exclude LULUCF are about 2.09 t CO2e per person in 2023, a relatively low per‑capita footprint consistent with a small, service‑oriented economy, yet environmental constraints and climate risks remain a defining context for growth. Overall, the economy shows a narrow production base, external vulnerability, and an environment where careful policy mix—spurring diversification, stabilizing prices, and gradually expanding investment—could support more resilient growth.

Governance and Institutions

On governance, Vanuatu displays a mix of strengths and weaknesses. Political stability and absence of violence/terrorism score 0.932 in 2023 (rank 33), indicating a high degree of political stability, which provides a favorable backdrop for policy continuity and investment confidence. However, regulatory quality sits at −0.12 (2023; rank 99) and government effectiveness at −0.569 (2023; rank 134), signaling significant room for improving bureaucratic performance, policy implementation, and public service delivery. The rule of law is modestly positive at 0.141 (2023; rank 88), while control of corruption is near neutral at −0.0149 (2023; rank 85). These indicators collectively suggest a stable political environment but uneven institutional quality, with potential risks for business regulation, ease of doing business, and efficient governance. Such a profile is common for small island economies where governance stability coexists with capacity constraints, requiring targeted reforms to translate political steadiness into stronger public institutions and more effective service delivery.

Infrastructure and Technology

Digital and energy infrastructure show both progress and constraints. Individuals using the Internet reach 45.7% of the population in 2023, reflecting meaningful digital penetration but still leaving a large share of people without online access, which can hinder education, health information dissemination, and e‑commerce. In energy terms, renewable energy accounts for 25.0% of total final energy consumption in 2022, indicating a meaningful though not dominant role for renewables in the energy mix and room for expanding clean energy deployment. The combination of a dispersed island geography and moderate digital connectivity points to opportunities to improve broadband coverage, reduce connectivity gaps across islands, and promote e‑government and e‑commerce services, while expanding renewable capacity could help mitigate volatility in imported fuels and support climate resilience. Overall, infrastructure and technology in Vanuatu show a path toward greater digital inclusion and cleaner energy, albeit with significant scale‑up required to achieve universal access and deeper decarbonization.

Environment and Sustainability

Environment and climate considerations are central to Vanuatu’s development, as reflected in its emissions and energy indicators. Total greenhouse gas emissions per capita excluding LULUCF are 2.09 t CO2e in 2023, a low per‑capita level consistent with a small population and limited heavy industry. Renewable energy constitutes 25.0% of total final energy consumption in 2022, signaling progress in decarbonization, though the share remains below what would be ideal for energy independence and resilience. The country faces climate vulnerabilities common to small island developing states, including exposure to extreme weather events and sea‑level rise, which heighten the importance of building resilience, diversifying the economy, and expanding renewable capacity. Nutritional indicators show 7.9% of the population is undernourished (2022), underscoring ongoing challenges in food security that intersect with climate risk, imports dependence, and rural livelihoods. In sum, Vanuatu displays low per‑capita emissions and a growing but still modest renewable energy footprint, while climate resilience and inclusive nutrition remain pivotal for sustainable development.