Development
Pacific-led development is intricately linked to trade and debt.
Trade has been a part of our way of life for generations, however, ongoing attempts to have Pacific Island Countries bound by unfair international trade laws threaten Pacific peoples, their environment and their way of life. Free Trade Agreements (FTAs) are designed to limit what governments can and cannot do with their economies, meaning that many policies and regulations that support local industries, the environment, or community welfare aren't allowed. FTAs are used by rich nations as a way to gain and secure access to Pacific markets and resources with little benefits flowing the other way.
The Pacific is currently dealing with a number of trade agreements ranging from membership to the World Trade Organization (WTO), the Economic Partnership Agreements (EPAs), the Pacific Agreement on Closer Economic Relations Plus (PACER-Plus), the Indo-Pacific Economic Framework for Prosperity (IPEF), and more. The Pacific, already having to deal with debt levels exacerbated by the climate crisis, have been suffering from the economic impacts of COVID-19. The responses from Pacific Island governments to their new debt levels must not be driven by donor governments and instead should ensure that debt responses support the most vulnerable, communities and the environment.
PANG works to challenge the narrow, neoliberal definition of development that is pushed onto our Pacific through the constraints on development options that legally binding trade agreements enforce. We defend the right for Pacific Island Countries to be economically self-determining.
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Debt
The issue of debt is now being discussed in relation to the COVID recovery and the need to lower debt levels. Policies to increase revenue raising, cut government spending, and boost economic growth must all be done with proper governance, accountability, and inclusion. Debt responses must treat austerity as a last resort and instead must target those most able to contribute to government revenue.
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Indo-Pacific Economic Framework for Prosperity
The Indo-Pacific Economic Framework for Prosperity (IPEF) is a US-led geo-strategic regional trade agreement aiming to counter China’s growing economic influence.
Fiji is currently the only Pacific Island Country member negotiating.
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World Trade Organization
The World Trade Organization (WTO) is a multilateral body focused on setting the rules for global trade. Currently there are six Pacific Island Countries that are members of the WTO. Three of those – Tonga, Vanuatu and Samoa – underwent the process of accession, a process that involved them paying a high price for their membership.
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PACER-Plus
The Pacific Agreement on Closer Economic Relations Plus (PACER-Plus) is a regional free trade agreement between Australia, New Zealand and nine Pacific Island Countries. The controversial agreement contains many obligations for PICs to open up their markets to goods and services from Australia and New Zealand.
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Economic Partnership Agreements & Samoa Agreement
The European Union has established its relationship with the Pacific through a number of agreements. The iEPAs are a goods only trade deal that a number of PICs signed under pressure and is potentially expanding to services/investment. There is also the broader Samoa Agreement which includes aid, trade commitments and other issues between the PICs and the EU.
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Land and Trade
Customary land systems are vital to Pacific Island Countries yet they come under threat from trade deals that attempt to bring them under their control.