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Australia and Vanuatu Agree US$325 Million Security and Economic Pact Amid China Competition
The Nakamal Agreement will provide Vanuatu with $50 million annually to boost security, infrastructure, and climate resilience while countering China's regional influence.
- Australia and Vanuatu agreed on the Nakamal Agreement, a A$500 million deal to boost economic and security ties on August 13, 2025, in Vanuatu.
- The deal followed months of negotiations amid growing Chinese influence and infrastructure lending in Vanuatu, which increased regional competition.
- The agreement includes climate resilience funding, labour mobility focus, development aid, and plans for data centres on Port Vila and Santo islands.
- Deputy Prime Minister Richard Marles called the deal a recognition of a "shared destiny" with a "shared security environment," while Prime Minister Napat described it as a "win-win situation."
- The pact is expected to transform bilateral relations and benefit both countries, with formal signing scheduled for September by leaders Albanese and Napat.
17 Articles
17 Articles
$327 Million Australia-Vanuatu Agreement Strengthens Security and Economic Cooperation Amid China Concerns
Australia and Vanuatu announced on Wednesday a $325 million security and economic pact, a move that could affect China’s role as the island’s biggest external creditor. Prime Minister of Vanuatu Jotham Napat applauded the deal, formally called the Nakamal Agreement, as a “win-win situation.” “The Agreement that has entered today will transpire into a lot of great benefits,” said Napat at a press conference on Tanna Island, Vanuatu. “Whether it b…
With China rivalling, Australia seals $325 mn security & economic deal with Vanuatu in the Pacific
Australia and Vanuatu on Wednesday agreed a A$500 million ($326.50 million) deal to strengthen economic and security ties between the two countries, amid increasing competition from China, the Pacific island nation's largest external creditor.
Australia, Vanuatu agree US$325 million security and economic pact amid China competition
SYDNEY: Australia and Vanuatu on Wednesday agreed a A$500 million (US$326.50 million) deal to strengthen economic and security ties between the two countries, amid increasing competition from China, the Pacific island nation’s largest external creditor. © New Straits Times Press (M) Bhd
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