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The public sector and development in the Pacific Islands

CollectionsPacific Economic Bulletin (1991-2010)
Title: The public sector and development in the Pacific Islands
Author(s): Chand, Satish
Publisher: Crawford School of Public Policy, The Australian National University
Asia Pacific Press
The current dominance of the state in economic activity in all of the Pacific island countries is the culmination of the prevailing ideology of state-led development at independence. The dynamics since have led to the growth of the public sector at the expense of the private sector. The economic stagnation of the Pacific island countries over the last two decades and the accompanying fiscal pressures as a result of the relatively large bureaucracies gives urgency to a shift in development strategy to private-sector led growth. All but two Pacific island countries have embarked on public sector reforms. The fruits of these reforms are yet to be realised, however. This paper argues that helping one of the Pacific island countries to succeed in rekindling growth on completion of reforms could provide the model for emulation by the rest.
ISSN: 1834-9455 (online)
0817-8038 (print)


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