Verified Facts
Wallis and Futuna's economy is driven by a combination of traditional industries such as agriculture, fishing, and handicrafts, as well as a growing services sector, with the territory relying heavily on financial support from France.
Quick Facts
Economic Overview
Wallis and Futuna has a small, upper-middle-income economy, with a GDP per capita of around $5,170. The territory's economic development is limited by its remote location, lack of natural resources, and small population. Despite these challenges, the economy has been growing steadily, driven by investments in infrastructure, tourism, and services. The territory's economy is also heavily reliant on financial support from France, which provides significant subsidies and investments in the territory. The economy is classified as upper-middle income, reflecting the territory's relatively high standard of living compared to other Pacific island nations.
The economy of Wallis and Futuna is also characterized by a high level of informality, with many people engaged in subsistence farming, fishing, and handicrafts. The territory's remote location and lack of connectivity also make it difficult to participate in global trade, which limits the economy's growth potential. However, the territory has been working to improve its connectivity, with investments in telecommunications and transport infrastructure. The economy is also vulnerable to external shocks, such as natural disasters and global economic downturns, which can have a significant impact on the territory's fragile economy.
The territory's economic trajectory is closely tied to France, which provides significant financial support and investments in the territory. The territory is also working to diversify its economy, with a focus on developing its tourism and services sectors. The territory's unique culture and natural beauty make it an attractive destination for tourists, and the government is working to develop the territory's tourism infrastructure. However, the territory faces significant challenges in developing its economy, including its remote location, lack of natural resources, and limited connectivity.
Key Industries
| Industry | Contribution | Details |
|---|---|---|
| Agriculture | 20% | Subsistence farming, copra, and vanilla production |
| Fishing | 15% | Commercial fishing, fish processing, and export |
| Services | 40% | Tourism, finance, and public administration |
| Manufacturing | 10% | Handicrafts, food processing, and construction materials |
| Tourism | 15% | Hotel and restaurant services, tour operations, and travel agencies |
Trade Profile
Top Exports:
- Fish and seafood: Fresh and frozen fish, crustaceans, and mollusks
- Copra: Dried coconut meat, used for oil production
- Vanilla: High-quality vanilla beans, used in food and perfume production
- Handicrafts: Traditional crafts, such as wood carvings and woven baskets
- Essential oils: Distilled oils from local plants, used in perfumery and aromatherapy
Top Imports:
- Food and beverages: Rice, sugar, flour, and other staples
- Fuel and energy: Petroleum products, diesel, and gasoline
- Machinery and equipment: Vehicles, generators, and construction equipment
- Building materials: Cement, steel, and timber
- Electronics: Telecommunications equipment, computers, and appliances
Key Trading Partners:
- France: The territory's main trading partner, providing significant financial support and investments
- Australia: A major trading partner, with significant imports of food and fuel
- New Zealand: A key trading partner, with significant imports of machinery and equipment
Infrastructure
- The territory has a limited transport network, with a single airport and a few ports
- The territory's energy sector is dominated by diesel-powered generators, with some renewable energy sources, such as solar and wind power
- Internet and mobile penetration are relatively low, with around 30% of the population having access to internet services
- The territory has a single port, which handles most of the territory's imports and exports
- The territory's airport is served by a few airlines, with regular flights to France, Australia, and New Zealand
Economic Outlook
The economic outlook for Wallis and Futuna is positive, with the territory expected to continue growing steadily over the next few years. The territory is working to diversify its economy, with a focus on developing its tourism and services sectors. The territory is also investing in infrastructure, including telecommunications and transport networks, which will help to improve connectivity and support economic growth. However, the territory faces significant challenges, including its remote location, lack of natural resources, and limited connectivity.
The territory is also working to develop its private sector, with a focus on supporting small and medium-sized enterprises. The territory has established a number of programs to support entrepreneurs, including training and mentorship programs, as well as access to finance and other resources. The territory is also working to improve its business environment, with a focus on simplifying regulations and reducing bureaucratic barriers. Overall, the economic outlook for Wallis and Futuna is positive, with the territory expected to continue growing steadily over the next few years. However, the territory will need to continue to work to address its significant challenges, including its remote location and limited connectivity.