Vanuatu braces for economic downturn

Just a day out from the national elections Vanuatu extended its COVID-19 protection measures with businesses warned to brace for a major downturn in the economy.

In a national address on Tuesday the caretaker prime minister Charlot Salwai announced the extension of the ban on cruiseship visits to 60 days, the suspension of the labour mobility scheme to Australia and New Zealand and a reduction in international flights into the country.

Mr Salwai said as of yesterday there were no confirmed or suspected cases of the coronavirus in Vanuatu.

He said health authorities were working with the W.H.O and aid partners to make sure medical personnel are prepared to deal with coronavirus if it arrives.

"I want to reassure the general public, do not cause panic in the community and among citizens and residents of this country.

"Let us all remain calm and comply with the actions and directives that come from the WHO, the world health organisation and the ministry of health," he said.

Mr Salwai said the effect of the global pandemic would hit Vanuatu's small tourism dependent economy hard, but he warned local businesses and service providers that the government would be monitoring prices to make sure the public is not victimised by opportunistic price hikes.