Pacific aid drops 18% as focus shifts to Ukraine and China increases support
Aid to the Pacific region has decreased by 18% as COVID-19 support ended, according to the Lowy Institute's latest Pacific Aid Map. Major donors, especially in the West, have redirected funds to Ukraine, impacting assistance to the Pacific. China has become the second largest bilateral donor in the Pacific, increasing its aid to $256 million in 2022. This shift comes as Australia remains the largest donor, contributing $1.457 billion. The report highlights a growing reliance on loans for infrastructure projects, which now make up 60% of financing in the region. This trend raises concerns about the Pacific's debt situation and the potential neglect of essential services like health and education.