Vanuatu_PDNA_Web

24 Tropical Cyclone Pam, March 2015
which affects production either through increased costs or (in some cases) through temporary or
permanent closure of manufacturing businesses.
Cooperative businesses. Surveys of cooperative businesses were conducted in the most affected
provinces of Shefa and Tafea. Damage was estimated at VT 15.7 million for building materials and
other assets, while approximately VT 4.3 million was estimated to be lost due to reduced economic
activity.
Other businesses. For other subsectors in the commercial sector, the Vanuatu Chamber of Commerce
and Industry (VCCI) distributed 397 assessment forms to retail and wholesale businesses, women’s
groups, other professional services, credit facilities, and other businesses in the capital of Port Vila
and Tafea that are not engaged in manufacturing, tourism, or communication. The figures presented
in Table 10 incorporate feedback from the 365 businesses who responded. There is a total of the
1,451 registered businesses across all private sector segments that were provided with assessment
forms. As such, the figures presented in Table 10 are an underestimation of the total damage and
loss. Damage is mostly related to buildings, while losses comprise the expected decreased economic
activity over the next period.
Table 10.
Quantification of
Damage and Losses
in the Commerce and
Industry Subsectors
(VT 1,000)
Subsector Damage Losses Total Effects Private (%) Public (%)
Manufacturing 754,172 774,351 1,528,523 100 0
Cooperative Businesses of All Types 15,703 4,291 19,994 100 0
Other Business Subsectors 426,587 1,373,288 1,799,875 100 0
Sector Total 1,196,462 2,151,930 3,348,392 100 0
Table 11 below shows the distribution of damage and losses across the affected provinces. As the
commercial sector is mainly clustered in the capital, Port Vila, in Shefa Province, most of the damage
and expected losses are concentrated there.
Table 11.
Quantification of
Damage and Losses
in Commerce and
Industry by Province
(VT 1,000)
Province Damage Losses Total Effects Private (%) Public (%)
Malampa 1,800 1,846 3,646 100% 0%
Penama N/A N/A N/A N/A N/A
Shefa 1,161,323 2,111,617 3,272,940 100% 0%
Tafea 33,339 38,467 71,806 100% 0%
Sector Total 1,196,462 2,151,930 3,348,392 100% 0%
Note: N/A = not applicable.
Mitigation of disaster effects on commerce and industry by the financial sector
The VNPF, the RBV, commercial banks, and the insurance industry have all acted to minimize the
effect of TC Pam on commerce and industry.
Vanuatu National Provident Fund. The government of Vanuatu reacted quickly to the disaster and
directed the VNPF to release 20% of superannuation saving to its members, on request, to help
them deal with the disaster impacts. This equates to approximately VT 2.2 billion among 21,000
members. As at May 7, 2015, VT 1.467 billion had been drawn down by 17,446 members under this
option, which is open until May 29. This money was invested in bank term deposits, and consequently
may affect liquidity in the banking system. Fortunately, the VNPF mandated that payments be made
to bank accounts and is phasing the payments to the most-affected areas first. The withdrawal of