July 18, 2007 - A new report on Human Development in the Pacific Islands concludes that the countries’ rapid progress in health, education and social protection has slowed and calls on both governments and donors to adopt new policy and budgetary frameworks to help reverse this situation.

The report “Opportunities to Improve Social Services – Human Development in the Pacific Islands” covers nine countries in the Pacific – Solomon Islands, Vanuatu, Fiji, Tonga, Samoa, Palau, Kiribati, Federated States of Micronesia and the Republic of the Marshall Islands – and the three sectors of education, health and social protection.

“This Human Development Report contains a rich array of findings, census data and policy advice. Not all are universally applicable,” said Emmanuel Jimenez, World Bank Director of Human Development for East Asia and the Pacific, during a recent presentation of the study at the 11th Meeting of the Pacific Islands Form Economic Ministers meeting in Palau. “It sets out possible policy frameworks to address education, health and employment risks. It also urges both governments and donors to work together on initiatives to reform social services management and governance.”

(See main findings and recommendations)

The Republic of Palau is a small Micronesian country located between the Philippines and Guam in the northwest Pacific, and it has a population of 20,000

Update on successful seasonal laborers project

High on the two-day meeting’s agenda was discussion of labor mobility, the seasonal movement of unskilled and semiskilled workers throughout the region.

World Bank economist Manjula Luthria provided an update on her 2006 report, “At Home and Away - Expanding Job Opportunities for Pacific Islanders Through Labor Mobility”. She reported on a successful World Bank pilot project where 45 Ni-Vanuatu workers spent five months picking fruit in New Zealand’s Otago region. The pilot will be expanded and the New Zealand Government has announced a new seasonal workers plan with Pacific countries.

The high cost of transferring funds earned abroad to Pacific countries --known as remittances-- is also being researched. “The electronic cost of transferring money is around 7 cents, yet in the Pacific, charges can be as high as 30-50 per cent of the money transferred. The World Bank is in discussion with Pacific central bankers and private bankers on how to reduce these costs,” said Ms Luthria.

New environmental strategy

The two day meeting also received a briefing from the Global Environment Facility (GEF) on a new $US 100 million environment strategy for the Pacific. The strategy will be used to fight climate change, protect island species and shared waters and conserve the fragile environment of the islands. The World Bank will be taking a major coordinating role in this new initiative.

Other World Bank research on the Pacific region

The Pacific Islands Human Development Report complements other reports recently released by the World Bank on key issues of employment, youth, natural disasters and climate change.

In addition to “At Home and Away”, recent research includes “Not If But When” – Adapting to Natural hazards in the Pacific Islands Region" and the 2007 World Development Report on Youth. All these reports highlight how the World Bank is working with Pacific Governments on economic integration, environmental and human risk mitigation and the management of natural resources.

Despite past progress that led to substantial increases in primary enrollment rates, there are persistent as well as new challenges:

• Disappointing performance in literacy and numeracy;
• Growing inequities in access to secondary education;
• Children with special needs are receiving insufficient attention from governments

Recommendations:

Improving the quality of education through teacher training, setting school standards, curriculum reform and promoting school based management;

Leveling the playing field in secondary education through scholarships; and

Placing a spotlight on children with special needs through inclusive education programs.

Pacific countries have traditionally relied on strong family and community bonds to mitigate risks. While strong, these practices may need to be supplemented to deal with these challenges:

• Growing levels of youth and male unemployment, posing major challenges to growth and development;
• Unemployment is likely to be linked to other social problems such as domestic violence, drug and alcohol abuse, suicides and social unrest.

Recommendations:

Employing jobless youth through specific employment programs and improvements in vocational education, social programs to highly vulnerable groups, such as the very poor and people with special needs; and

Developing public-private partnerships in social systems.