Vanuatu
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Limited taxation adds to Vanuatu’s economic freedom. However, competing factions destabilise the political landscape. Exposure to tourism will lead to output underperformance versus peers in the short term, whilst large agricultural activities also raise exposure to commodity prices. Population growth is not expected to add to consumer market appeal and health indicators will remain challenging. Internet use is rising but low; however, a focus on digital connectivity is leading to progress.
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