Tongan Prime Minister and Forum Chair Dr. ʻAisake Eke delivered a critical address on Wednesday, warning Pacific Finance Ministers about the rising global uncertainties, particularly due to changing U.S. policies under the new Trump administration.
The remarks were made during the Special Forum Economic Ministers Meeting (FEMM) in Nuku’alofa, where ministers gathered to discuss the urgent economic recovery and climate challenges facing Pacific islands. Dr. Eke expressed that the situation is unprecedented, saying, “We have a new sheriff in town and his policies have implications for the World and our region,” signifying the mounting stakes for the Pacific.
While anticipating that economic growth in 2025 might surpass pre-pandemic levels, he cautioned that the global trade landscape remains fraught with risks from geopolitical tensions and climate-related disasters, which could jeopardize the fragile recovery from COVID-19. The International Monetary Fund projects a real GDP growth of 4.0 percent for Pacific island economies in 2025, an improvement from the 3.3 percent forecast for 2024.
The meeting underscored endorsements of three pivotal regional initiatives aimed at confronting economic volatility and climate threats: the Pacific Roadmap for Economic Development (PRED), the Climate Finance Access and Mobilisation Strategy (CFAMS), and the Pacific Resilience Facility (PRF). Dr. Eke highlighted the need for collaborative leadership to strengthen regional economic resilience, especially in light of ongoing disasters, such as the Hunga-Tonga-Hunga Ha’apai volcanic eruption and recent earthquakes.
Dr. Eke emphasized the importance of these initiatives, stating, “We need to build and strengthen our communities to be resilient against the impacts of climate change and disasters.” The PRF will establish a Pacific-led financing mechanism to bolster climate resilience, while CFAMS aims to address significant financing gaps necessary for sustainable development.
Echoing sentiments from previous discussions, including those highlighted by Finance Minister Prof Biman Prasad, the need for deepened regional integration was again reinforced. The current geopolitical climate requires Pacific nations to collaborate effectively with partners like Australia and New Zealand to advance their collective economic agendas.
Ultimately, the optimism from the ministers’ endorsements serves to strengthen the determination that united action can yield a resilient and sustainable Blue Pacific Continent, poised to tackle its challenges head-on for both current and future generations. The FEMM set the stage for ongoing discussions, with the next Forum Economic Ministers Meeting scheduled for August 2025.
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