“Our domestic aviation sector cannot continue as it is.”

That is the message from Prime Minister Jotham Napat following the release of a new report on Vanuatu’s aviation industry.

From a press release it states that the Vanuatu Domestic Aviation Technical Assistance report, funded by the New Zealand Government, reveals that the country’s aviation sector is fragmented and operating without a clear strategy or long-term goals.

The report was requested by the Prime Minister in 2025 and highlights major challenges affecting both the aviation sector and the national airline.

According to the findings, the industry lacks proper systems, clear accountability, and strategic direction, making it difficult to operate efficiently and sustainably.

It also notes that the airline continues to face funding challenges and does not have a formal business plan in place.

“There is no business plan, no usable cost data, and an over-reliance on costly operations. That is not sustainable.”

Despite these challenges, the report states that with strong leadership, improved management systems, and proper planning, the airline can return to profitability.

One of the key recommendations is for the airline to urgently develop a 5-year business plan, which will allow the government to take a more strategic approach and work closely with development partners.

The report also calls for a major transformation of the aviation sector to restore connectivity, improve performance, and support economic growth.

New Zealand High Commissioner Peter Kemp said aviation plays a critical role in enabling trade, tourism, and development.

The government says it will now move forward with the recommendations and strengthen the aviation sector to better serve the country.