For investors in search of a safe heaven from the emotion and irrationality of global financial markets, a South Pacific Business could be an appealing option. Australia and New Zealand aside, island nations tend to be less exposed to the systems of global capital, with local factors playing a much greater influence on economic activity. South Pacific business, nonetheless, still benefits from its close proximity to the fast growing economies of Asia. Asian investment in the South Pacific, especially from China, Japan, Singapore, South Korea and Malaysia has been increasing for some time. This is evident in several key industries including mineral extraction, LNG, telecommunications, aviation and tourism.
To facilitate South Pacific business, an inter-governmental organization known as the Pacific Islands Forum was established with the aim to enhance cooperation between the independent island nations. Australia and New Zealand are generally larger and wealthier than the other countries that make up the rest of the forum. Australia’s population alone is around twice that of the other 15 members combined, while its economy is more than five times as large.