PORT VILA 23^rd October 2025 – Prime Minister Hon. Jotham Napat today issued a strong defence of Vanuatu's constitutional amendments 17A and 17B, calling opposition challenges to the democratically-approved reforms "a calculated attempt to return to the chaos of revolving-door governments that have plagued our nation for decades."

The amendments, which passed by nearly 60% in Vanuatu's first-ever national referendum on 29 May 2024, were designed to end chronic political instability that saw the country cycle through four different prime ministers from four different parties in 2022-2023 alone, and 20 changes of prime minister between 1991 and 2017—more than any other Pacific island nation.

"We find it deeply ironic that those now challenging this process claim to be preserving democracy," Prime Minister Napat stated. "The real question Ni-Vanuatu must ask is: why does the opposition suddenly object to reforms they had the opportunity to debate and which the people overwhelmingly approved? The answer is simple—they wish to preserve their ability to destabilise elected governments through constant motions of no confidence rather than respect the will of voters."

The constitutional reform process began in 2008 with the Constitutional Review Committee's initial recommendations. After years of consultation and failed attempts to build consensus, Parliament achieved an unprecedented unanimous vote of 47-0 in December 2023, transcending all party divisions.

The Government invested VT350 million in a comprehensive three-month public awareness campaign that reached 98% of the population across all six provinces and overseas communities. Over 75 international and domestic observers monitored the referendum process, including delegations from the Pacific Islands Forum, Melanesian Spearhead Group, and diplomatic missions from Australia, New Zealand, France, and the United Kingdom.

"Every constitutional requirement was meticulously followed," PM Napat emphasised. "The Supreme Court independently reviewed and validated our compliance with Articles 85 and 86 of the Constitution just two days before the referendum. The people spoke clearly—59% for Article 17A and 58% for Article 17B."

The Prime Minister noted that grassroots support preceded government action, with citizens delivering a petition signed by over 1,800 people to Parliament in November 2023 demanding political stability reforms. "Our people were crying out for change. Political instability has disrupted development projects, discouraged foreign investment, prevented passage of budgets, and led to the collapse of Air Vanuatu and slow economic recovery. Our people deserve better."

"The time for political games is over," PM Napat said. "The opposition must show true leadership by respecting this democratic mandate and focusing on the work the people elected them to do. We will not allow Vanuatu to return to the chaos that has held our nation back for over 30 years. The people have spoken, and this Government will honour their decision."

The Prime Minister reaffirmed the Government's commitment to implementing the amendments fully whilst continuing broader political reforms including strengthening political party governance and democratic accountability.

The Office of the Prime Minister wishes to inform the public, particularly members of the Vanuatu Teachers Union (VTU), that the Government of Vanuatu has commenced the implementation of the recent Council of Ministers (COM) decision to settle outstanding teachers’ allowances.

The Ministry of Education and Training (MoET) has processed the first batch of payments, amounting to VT 111,544,156, marking a significant step in the Government’s commitment to address long-standing issues affecting teachers and ensuring fairness across the education sector.

The breakdown of the current payments is as follows:

·         Primary Teaching Years 7 & 8 Allowances: VT 19,088,534

·         Junior Secondary and Senior Secondary Teaching Allowances: VT 66,754,035

·         Associate Diploma Allowances: VT 25,701,587

Further verification work is ongoing for Principals and Deputy Principals’ allowances, which require additional checks. These payments will be processed and included in the next payroll run by Friday.

Next week, the CBA Taskforce will verify the ambiguous claims in consultation with Provincial Education Officers to ensure accuracy, fairness, and transparency.

The Government reiterates its strong commitment to settling all legitimate claims under this payroll exercise. As the guardian of the people’s welfare, the Government remains steadfast in ensuring justice, accountability, and recognition for all public servants—especially teachers, who play a vital role in shaping the nation's future.

 The Vanuatu Teachers’ Union, through its Secretary, acknowledged the Government’s decisive action and commitment, stating:

“Vanuatu Teachers' Union wishes to acknowledge the current Government for the great effort put into resolving the long-standing teachers’ issue. The Government has paid the back pay of salaries for teachers who went on strike, and there are a few who are still waiting for their back pay — we hope the Government will recover that shortly. Furthermore, the Union acknowledges the Government for the first part payment of VT 111 million for the shortfall of calculation for primary teachers teaching Years 7 and 8, and for junior teachers teaching senior classes. The remaining VT 164 million, approved by the Council of Ministers, will be paid next payday. On behalf of all VTU members around the country, we thank the collective efforts of all parties involved and trust that and once the verification process is completed, we can proceed to the Collective Bargaining Agreement discussions.”

 The Government welcomes the Union’s cooperation and reaffirms its readiness to improve working relations with the VTU and all stakeholders to strengthen the education sector and ensure the welfare of teachers across the country.

Progress Made On Sorting Out Teacher Claims

The Government of Vanuatu welcomes the progress made towards resolving outstanding teacher claims through the tri-partite verification process between the Teaching Service Commission, Ministry of Education, Vanuatu Teachers Union (VTU), and the CBA Taskforce.

On Friday, October 10th, Prime Minister Jotham Napat and Deputy Prime Minister Johnny Koanapo received a briefing on the verification process, which verified claims totalling Vt537,314,021. The Prime Minister has tasked the Ministry of Education to produce a Council of Ministers' paper this week to facilitate the settlement of these claims.

While prioritizing VTU members' claims of Vt164,803,001, the Government remains committed to settling all teachers' claims, including Vt372,511,020 owed to non-VTU members. The verification process revealed incomplete payments due to changes in Teaching Service Staff Rules and different GRT determinations, as well as ambiguous claims requiring further documentation and verification.

Both leaders were briefed on the work plan and way forward for signing the Collective Bargaining Agreement (CBA) to end the strike. The Government remains committed to resolving teacher claims fairly and transparently, appreciating the collaborative efforts of all parties involved.

The Reserve Bank of Vanuatu (RBV) has implemented a new currency exchange rate framework, following an independent assessment by the International Monetary Fund (IMF). This change aims to realign the Vatu with Vanuatu's current trade patterns, which have shifted significantly over the years. The RBV confirms that this adjustment is not a devaluation of the currency but rather a realignment to reflect the country's economic reality.

The change is expected to make Vanuatu more attractive to tourists and investors, potentially boosting economic growth and increasing foreign investment. The RBV has taken into account the potential implications of this change, including slightly higher import costs and increased government loan repayments.

However, the Bank is confident that these effects will be manageable and that the overall benefits of the change will outweigh the costs. "We believe that this change will support Vanuatu's economic development and help to promote inclusive and sustainable growth," said the RBV Governor. "We welcome more investors and visitors to Vanuatu and are confident that our economy will continue to thrive in the years to come."

The RBV will continue to monitor the effects of this change and make adjustments as necessary to ensure the stability and growth of the Vanuatu economy.