Economic vulnerability of small island developing states : the United Nations approach

Abstract

In the recent history of the triennial review by the United Nations of the list of Least Developed Countries (1997, 2000, 2003), the issue of economic vulnerability was central to the conceptual and methodological debate underlying the review. Economic vulnerability is a key issue with regard to the graduation from Least Developed Country status. It is of immediate importance for three Small Island Developing States (SIDS), namely Cape Verde, Maldives and Samoa, and of potential importance to two other SIDS, namely Kiribati and Vanuatu. The chapter examines the importance that has been given, or ought to be given, to the criterion of economic vulnerability in the treatment of potentially graduating countries. While some take the view that vulnerability is neither less nor more important than the other criteria for determining the list of LDCs, others argue that economic vulnerability should be regarded as a paramount criterion, and that this should have operational implications for the graduation rule.