NationsData

Investing in Vanuatu in 2026

East Asia & Pacific

28

Score

CautionNR

Caution Investment Destination

Significant risks present - experienced investors with hedging strategies

Why investors choose Vanuatu

Vanuatu earns an investment score of 28/100, placing it in the caution category for global investors. Significant risks present - experienced investors with hedging strategies. The country's standout dimensions are growth potential (38/100) and political stability (32/100), with overall GDP of $1.1B and per-capita output of $3,300. Growth is running at 3.0% with 4.0% of GDP arriving as foreign direct investment. Inflation is contained at 4.0%. The sovereign holds a NR credit rating, generally considered speculative-grade with elevated default risk. Investment opportunities cluster around Tourism (sector score 35/100, currently growing), which represents 20% of GDP. Trade openness sits at 80% of GDP, a useful proxy for how integrated Vanuatu is with the global economy.

Quick facts about Vanuatu
Investment Score28/100
Risk LevelCaution
Credit RatingNR
GDP$1.1B
GDP Growth3.0%
GDP per Capita$3,300
Inflation4.0%
Population0.33M
FDI Inflows4.0% GDP
Trade Openness80%
Government Debt48% GDP
Current Account-10.0% GDP
Score breakdown
Economic Health (30%)24
Political Safety (25%)32
Business Climate (20%)26
Financial Strength (15%)20
Growth Potential (10%)38
Investment Profile
Sector Scores
Score History

How Vanuatu's investment score has evolved over time

2021: 26/100+2 pts since 20212025: 28/100
Top sectors for investment in Vanuatu

Tourism

20% of GDP, growing

35

Construction

5% of GDP, growing

28

Agriculture

22% of GDP, stable

25

Fisheries

6% of GDP, stable

22
Governance & rule of law in Vanuatu

World Bank Governance Indicators (-2.5 to +2.5, higher is better)

Political Stability0.4
Rule of Law-0.3
Corruption Control-0.3
Regulatory Quality-0.5

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Frequently asked questions about investing in Vanuatu
Is Vanuatu a safe country to invest in?

Vanuatu carries a caution risk rating with an overall investment score of 28/100. Significant risks present - experienced investors with hedging strategies. Sub-scores: economic health 24/100, political stability 32/100, business climate 26/100, financial strength 20/100, growth potential 38/100.

What is Vanuatu's sovereign credit rating?

Vanuatu holds a credit rating of NR, reflecting its ability to meet sovereign debt obligations. Credit ratings are a key signal of macro-financial health and a prerequisite many institutional investors require before allocating capital.

What are the strongest sectors for investment in Vanuatu?

The top investment sectors in Vanuatu are Tourism, Construction, Agriculture. Tourism leads with a sector score of 35/100 and represents 20% of GDP. Its current trend is growing.

What is Vanuatu's GDP growth rate?

Vanuatu's most recent GDP growth was 3.0%, with total GDP of $1.1B and GDP per capita of $3,300. Inflation is running at 4.0% and the current account balance is -10.0% of GDP.

How does Vanuatu score on governance and rule of law?

On the World Bank Governance Indicators (scale -2.5 to +2.5, higher is better), Vanuatu scores: political stability 0.4, rule of law -0.3, corruption control -0.3, and regulatory quality -0.5.

Can foreigners invest in Vanuatu?

Most industries in Vanuatu are open to foreign direct investment, though specific sectors may require a local partner, government approval, or special licensing. Consult a qualified local advisor for restrictions that apply to your sector.

What is foreign direct investment (FDI) like in Vanuatu?

Foreign Direct Investment in Vanuatu runs at 4.0% of GDP, while the trade openness ratio (exports + imports as a share of GDP) stands at 80%. These figures show how integrated Vanuatu is with the global economy and how welcoming it has been to international capital.

What is the public debt level in Vanuatu?

Vanuatu's government debt stands at 48% of GDP. This is a relatively conservative debt load, supporting fiscal flexibility.

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