DFAT Pacific Series (Short): Social Protection and Economic Growth in Pacific Islands Countries

Pacific Island countries (PICs) have varying social protection systems, informal and traditional. These systems are important in supporting the most vulnerable members of society and those affected by personal and natural disasters. In the Pacific Islands social protection has typically been an area of low government involvement. Knowledge about formal social protection in the region is limited, and there have been no studies on the impact of such schemes on poverty, human development and economic growth.

This research paper—‘Social protection and economic growth in Pacific Island countries’—assesses the potential role of social protection in stimulating economic growth and employment, and enabling PICs to better cope with local impacts of global economic shocks. The potential for economic growth is important for PICs because of the considerable structural constraints to growth they face.