Wednesday, October 1, 2025
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Wednesday, October 1, 2025
Wednesday, October 1, 2025

Vanuatu and EU Launch Vt2.5 Billion Rural Agriculture Program to Boost Economic Growth

Government of Vanuatu and the European Union have officially launched the Vanuatu Value Chain and Climate Resilient Rural Development Programme – VaVaC II, a major rural development initiative valued at over 2.5 billion Vatu.

This new program is set to support thousands of families and businesses working in agriculture and agri-food industries across the country.

The Head of Cooperation for the European Union in the Pacific met with Acting Prime Minister Hon. Johnny Koanapo Rasou to reaffirm the EU’s commitment to strengthening Vanuatu’s agricultural sector and promoting inclusive rural development.

The VaVaC II program consists of two key components: a 2.1 billion Vatu budget support package and an additional 300 million Vatu allocated for technical assistance.

Speaking at the launch, Acting Prime Minister Rasou acknowledged the EU’s long-term support and said the program will directly benefit local farmers, improve agricultural research, and enhance advisory services across the sector.

“This initiative supports our agriculture sector, especially the agri-food businesses. We thank the EU for standing with us since the beginning — this is a targeted program that aims to transform agriculture in Vanuatu,” said Hon. Rasou.

EU Pacific Head of Cooperation, Mr. Maurizio Cian, described VaVaC II as a symbol of the EU’s enduring partnership with Vanuatu and its commitment to sustainable economic growth.

“We continue to believe in the importance of the South Pacific — in countries like Vanuatu where 80% of the population live in rural areas and agriculture is the main source of income. This launch is about supporting rural communities and strengthening the country’s economy and exports,” said Mr. Cian.

VaVaC II is a six-year program focused on improving agricultural research and advisory services, especially in areas like traditional food systems, agroforestry, and inter-cropping — practices that build resilience against climate change and disasters.

The EU’s support is expected to strengthen food security and enhance Vanuatu’s economic resilience for years to come.

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