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Mr. Serkan Arslanalp, Mr. Robin Koepke, and Jasper Verschuur
This paper proposes an easy-to-follow approach to track merchandise trade using vessel data and applies it to Pacific island countries. Pacific islands rely heavily on imports and maritime transport for trade. They are also highly vulnerable to climate change and natural disasters that pose risks to ports and supply chains. Using satellite-based vessel tracking data from the UN Global Platform, we construct daily indicators of port and trade activity for Pacific island countries. The algorithm significantly advances estimation techniques of previous studies, particularly by employing ways to overcome challenges with the estimation of cargo payloads, using detailed information on shipping liner schedules to validate port calls, and applying country-specific information to define port boundaries. The approach can complement and help fill gaps in official data, provide early warning signs of turning points in economic activity, and assist policymakers and international organizations to monitor and provide timely responses to shocks (e.g., COVID-19).
Ms. Patrizia Tumbarello, Ezequiel Cabezon, and Mr. Yiqun Wu

: Distance to the Closest Continent Small States–Asia and Pacific Region: Liner Shipping Connectivity Index Population versus GDP-Weighted Distance Small States–Asia and Pacific Region: Current Government Expenditure, 2011 Small States–Asia and Pacific Region: Cost of Government, 1990–2010 Small States: Trade Openness Small States–Asia and Pacific Region: Trade Openness Small States–Asia and Pacific Region: Interest Rate Spread of Commercial Banks Small States–Asia and Pacific Region: Domestic Credit to Private Sector Small States–Asia and Pacific Region

International Monetary Fund

. Special Challenges Facing Pacific Islands Micro States FIGURES 1. Small States—Asia and Pacific Region: Population, 2011 2. Small States—Asia and Pacific Region: Distance to the Closest Continent 3. Small States—Asia and Pacific Region: Liner Shipping Connectivity Index 4. Population versus GDP-Weighted Distance 5. Small States—Asia and Pacific Region: Current Government Expenditure, 2011 6. Small States—Asia and Pacific Region: Cost of Government, 1990–2010 7. Small States: Trade Openness 8. Small States—Asia and Pacific Region: Trade Openness 9

Mr. Serkan Arslanalp, Mr. Robin Koepke, and Jasper Verschuur

A. Supply Disruptions in the Early Stage B. The Role of Tourism in the Later Stage V. CONCLUSIONS AND POSSIBLE EXTENSIONS REFERENCES TABLE 1. Pacific Island Countries: Port Calls by Type of Ship During 2019–20 FIGURES 1A. Pacific Island Countries: Merchandise Imports and Exports, 2019 1B. Pacific Island Countries: Merchandise Imports by Sea 2. Pacific Islands and Other Small States: Liner Shipping Connectivity Index 3A. Correlation of GDP and Merchandise Imports 3B. Pacific Island Countries: Timeliness of Merchandise Trade Data 4. Pacific

Ezequiel Cabezon

, according to different indicators. These include the United Nations’ liner shipping connectivity index, which measures countries’ connectedness to global shipping networks based on the status of their maritime transport sectors and geographical distance ( Figures 2.2 and 2.3 ). Two PICs are the IMF’s smallest members by population—Tuvalu and Palau—and the average population in PICs is half that of small states outside the Pacific. Figure 2.1 Asia and Pacific Small States: Population, 2014 (Millions) Sources: IMF, World Economic Outlook database; and World

International Monetary Fund. African Dept.

. While the NCS took steps over time to improve its service, there remains scope to reduce the high burden of customs and accompanying administrative requirements. Figure 11. Trade Logistics Source: UNCTAD Liner Shipping Connectivity Index (LSCI), World Bank Logistic Performace Index (LPI) 1/The Liner Shipping Connectivity Index (LSCI) captures how well countries are connected to global shipping networks. It is computed by the United Nations Conference on Trade and Development (UNCTAD) based on five components of the maritime transport sector: number of ships

International Monetary Fund
The small states of the Asia and Pacific region face unique challenges in raising their growth potential and living standards. These countries are particularly vulnerable because of their small populations, geographical isolation and dispersion, narrow export and production bases, lack of economies of scale, limited access to international capital markets, exposure to shocks (including climate change), and heavy reliance on aid. In providing public services, they face higher fixed government costs relative to other states because public services must be provided regardless of their small population size. Low access to credit by the private sector is an impediment to inclusive growth. Capacity constraints are another key challenge. The small states also face more limited policy tools. Five out of 13 countries do not have a central bank and the scope for diversifying their economies is narrow. Given their large development needs, fiscal policies have been, at times, pro-cyclical. Within the Asia-Pacific small states group, the micro states are subject to more vulnerability and macroeconomic volatility than the rest of the Asia-Pacific small states.