Vanuatu man loses huge cash savings in fire

An elderly man in a village outside Vanuatu's Luganville on Santo, has lost $US 26,000 in cash when his hut was destroyed by fire.

Sources from Fanafo Village say the man escaped the fire with his two grandchildren and just over 4,000 dollars but he could not carry the bag containing the rest of his money.

Police say people in isolated villages keep their money at home because they do not trust a bank to look after their money for them.

It is suspected the fire was started deliberately.