IMF Staff Country Reports

Kiribati faces significant development challenges due to its remoteness, limited landmass, and high exposure to climate-related shocks. The government has expanded social benefits and is pursuing an ambitious long-term development agenda focusing on health, education, financial inclusion, infrastructure and diversification. However, recent growth has been largely driven by public sector expansion. Fiscal and current account balances have deteriorated substantially in recent years, amid lower fishing revenues and increased current expenditures, contributing to the higher import bill and potentially weighing on long-term development.