Head of the ESCAP Subregional Office for the Pacific at the United Nations Economic and Social Commission for Asia and the Pacific (UN ESCAP) Andie Fong Toy. [Source: Robert Ciavarro/ Flickr]

The Head of the ESCAP Subregional Office for the Pacific at the United Nations Economic and Social Commission for Asia and the Pacific (UN ESCAP) Andie Fong Toy has expressed concerns over the sluggish state of the Pacific economic outlook and its impact on various socioeconomic aspects.

Inflationary pressures persist, while interest rates exhibit an upward trend.

Toy has drawn attention to the limited fiscal space, which hampers development spending, and the undeniable reality of mounting debt stress in the region. However, she also highlighted that certain areas are experiencing a rebound, setting the stage for tourism recovery.

“However these positive growth and investment impacts are at risk of domestic policy changes and uncertainties related to monetary policy tightening and fiscal squeeze.”

This, Toy states presents an opportunity for gradual growth, driven by investments in infrastructure and the creation of employment opportunities.

Emphasizing the need for a shift in development policy focus, Toy has stressed that the Pacific region must seize this opportunity.

The key element, according to her, is ensuring sustainability in policymaking. Moreover, she underscored the significance of empowerment as a potent catalyst for economic growth and inclusion.