Economic restructuring in Cook Islands: a review

Abstract

The structural adjustment program introduced in Cook Islands after the 1996 fiscal crisis had three main elements?public sector reform (to redefine the role of government, emphasise fiscal responsibility, ensure effective financial and economic management and improve public sector manage-ment), promotion of private sector growth (by promoting public confidence in the reform program, improving the competitive environment, improving access to land and key sectoral development), and to ensure social equity and sustainability (protect vulnerable groups, ensure environ-mentally sustainable growth and mainstream gender issues). It is an ambitious matrix and significant progress has been achieved?notably in downsizing the public sector. But in such a small economy with skills shortages there needs to be flexibility in the government and donor approach. Show more