Asian Development Bank and Nauru: Fact Sheet

Abstract

Updated yearly, this ADB Fact Sheet provides social and economic indicators on the Nauru as well as concise information on ADB's operations in the country and contact information. The greatest challenge in cutting poverty in Nauru is the establishment of economic alternatives to phosphate mining and fishing license revenues. After an upgrade of facilities, phosphate mining recommenced in 2007 and, by 2008, a surge in phosphate exports at significantly increased prices brought in higher-than-expected revenues. Unfortunately, in 2009, the phosphate market (in common with most other commodities) softened which, combined with damage to mooring buoys as a result of storm damage, severely restricted phosphate exports that year. Studies concluded, however, that it is commercially feasible to commence mining secondary phosphate reserves, which may be worth as much as $1 billion over 20 years and secondary mining commenced in late 2009. There is also estimated to be about a million tons of primary phosphate reserves. The search for alternative sources of revenue is critical to Nauru’s long-term economic future. Further challenges include the organization and management of a modern state that promotes performance-oriented public services, an increasingly competitive and productive private sector, the resolution of Nauru’s debt position, and good governance to underpin public and private investment.