Economic trends in small states analysed in Commonwealth publication

‘The Small States Economic Review and Basic Statistics,’ a new publication by the Commonwealth Secretariat, provides a detailed analysis of the economic trends in small states in 2006, with particular emphasis on how many small states are coping with their vulnerabilities.

The book contains tables covering selected economic and social indicators culled from international and national sources and presents information unavailable elsewhere. The detailed parallel commentary on trends in Commonwealth small states, looking at growth, employment, inflation and economic policy issues, permits a deeper understanding of developments behind the figures.

The Secretariat’s definition for Small States is Countries with a population of 1.5 million or less. These states posses unique special development challenges – limited diversification, limited capacity, poverty, susceptibility to natural disasters and environmental change, remoteness and isolation, openness, and income volatility. The Secretariat’s grouping of Small States also includes the larger member countries of Jamaica, Lesotho, Namibia and Papua New Guinea because they share many of the same characteristics of smallness.

Reference for policy-makers and academics

The publication, which is the twelfth volume in the series, was prepared by a team from the Secretariat’s Economic Affairs Division.

In his foreword, Director of the Division, Dr Indrajit Coomaraswamy, writes that the book is intended as an essential reference tool for economists and policy-makers as well as development partners.

“It also provides a useful resource for analysts from research and academic institutions, and is a unique resource of information on small states,” he noted.

The book includes two topical articles, on the dynamics of growth and macroeconomic fluctuations of small states, by Dr Gordon Cordina of the University of Malta, and the crucial role of energy efficiency and renewable energy in small island developing states, by David Barrett, an Energy expert who is the founding executive member of the Jamaica Solar Energy Association.

In his article ‘Renewable energy and Energy efficiency’, David Barrett demonstrates how investment in renewable energy could potentially reduce the dependence of small states on imported energy sources like petroleum, and help fuel their economic and social development.

By exploiting rich renewable energy sources such as solar, biogas, biomas, and wind, he argues that small states would achieve energy efficiency and also considerably reduce their greenhouse gas emissions.

The Commonwealth provides technical and financial assistance to small states to meet their development goals. Through collaborations and partnerships with other international agencies such as the World Bank, the Secretariat helps to mobilise both financial and technical support, as well as drawing attention to their special vulnerabilities.

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