Kiribati: Development Performance & Challenges

Outline

Development performance Key policy reforms Development challenges

Development performance

Kiribati Growth Performance

Source: Kiribati National Statistics Office

Figure 1: Real growth & per capita Figure 2: GDP per capita vs South Pacific

Prices

Figure 3: Annual Inflation Rates, 2007- 13 Figure 4: World prices of Rice, 2006 - 13

Employment

• 31% Unemployment • Youth unemployment is severe

(54% in 2010) • 65,784 working age in 2010. Only

4 out of 10 people aged 15 & over were employed in either paid or unpaid work

• 22% of paid workers in 2010 were in the private sector and 34% in public sector

Figure 5:

Trade

Figure 7: Seamen’s Remittances, 1999 to 2013

Source: SPMS

Figure 6:

Finance

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Figure 9: Sovereign Wealth Fund (RERF) value (A$m)

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Total recurrent revenue Total recurrent expenditures

Figure 8: Recurrent Revenue and Expenditures (A$m)

Selected Health Indicators

Figure 11: Maternal Mortality Ratio, Kiribati, 1991 – 2012

Figure 10: Infant and Under 5 Mortality Rates, Kiribati

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Selected Health Indicators

Figure 13: Incidence of Diabetes, Kiribati, 2002-12 Figure 12: Incidence of TB and Treatment Success Rate, Kiribati, 1990-2012

Selected Education Indicators

Figure 15: Proportion of female and male students starting year 1 and reaching year 5, Kiribati, 2006-12

Figure 14: Net enrolment rates for females and males, Primary School, Kiribati, 2006-12

Source: Ministry of Education

Key policy reforms

Policy reforms

• Expanding and diversifying the government revenue base • Implementing a new tax regime & modernising tax system • Improving public finance management system • Improving government fiscal position through SOE reform

program • Accelerating private sector development (including the

creation of conducive environment for public private partnerships in ecotourism, in country fish processing and sea-bed exploration/research)

Policy reforms (cont’d)

• Reviewing vocational training and tailoring courses to internal and external labour markets

• Improving livelihoods through effective implementation of subsidies – copra, seaweed

• Enhancing food security and sustainable livelihood through adequate support to the small scale artisanal fishermen and processing of value added fish products

• Adopting an Education Partners in Kiribati (EPiK) strategy to manage partner’s support for achievement of national goals for education

Major development challenges

Major development challenges

• Achieving sustainable growth and addressing the severe youth unemployment issue

• Achieving fiscal sustainability and improving efficacy of public institutions

• Addressing the high population growth rate and high population concentration in urban South Tarawa

• Short of achieving most of the MDG targets

Some thoughts in accelerating development performance !!

• Accelerate implementation of existing reform programs

• Redirecting investments toward productive sectors • Deepen engagement with all development stakeholders • Explore new ways of doing business for public institutions