Source: The Republic of Naoero
August 20, 2026
As the region prepares for the upcoming Pacific Islands Forum Leaders Meeting in Palau, President David Adeang has supported a call from New Zealand Foreign Affairs Minister Winston Peters for Pacific leaders to shift their focus from aid to strengthening their own economies.
Mr Peters told Pacific Mornings that stronger economies are vital if island countries are to have more control over their future.
He said, “I go to ASEAN, and it’s all about the economy, the economy, economy, economy. I go to the Pacific, it’s all about aid.”
President Adeang said his Government had been pursuing that approach since he was elected in 2023 and its long-term economic strategy is delivering strong results.
He said the progress has been driven by bold thinking, innovation, close friendships with Australia, China, and the ADB, and long-term planning to create a stronger future.
“From the outset we said that our future will not be defined by the UN’s ranking of Naoero as the world’s fifth most vulnerable nation to economic and climate shock.”
Naoero’s success has now been hailed in a recently published analysis by Australian National University’s director of the Development Policy Centre, Professor Stephen Howes.
Professor Howes highlighted Naoero’s economic transformation over the past decade, noting strong growth in national income, increased employment and the success of new sources of foreign income in supporting the nation’s development.
He noted that Naoero experienced average annual growth in national income of 4.9 per cent per person between 2009 and 2024. With major advances coming in the years President Adeang served as finance minister, Naoero is once again soon to be classified as a high-income country by the OECD.
His report also highlighted major economic improvements between the 2011 and 2021 censuses, including a 36 per cent increase in jobs for men, a 74 per cent increase in jobs for women, and employment growth from 47 per cent to 64 per cent of the population.
In the report, Professor Howes noted the available economic indicators suggest Naoero’s strong economic performance has continued beyond the 2021 Census.
“While the 2021 census data is now a bit old, there is no sign of Naoero’s boom having ended,” Professor Howes wrote.
“If any other boom worldwide has delivered similarly stunning results in such a short period, I am not aware of it.”
Reflecting on Naoero’s economic recovery journey, President Adeang has previously highlighted the importance of transparency, trust and working closely with communities.
He said dei-Naoero understood the importance of the Intergenerational Trust Fund which was securing the financial future for generations to come, and are embracing initiatives like advances in crypto, the citizenship program, new fishing initiatives and third-party resettlement arrangements with Australia.
“We are succeeding because we were transparent, because we spoke directly with our people, and because they trust that the sacrifices were for Naoero’s future,” he said.
President Adeang said those same values continue to guide the government’s approach to leadership and nation building.
“Faith, family, and community remain our compass. Leadership means keeping community relationships close and never forgetting who we serve.”