Tuvalu - Future trends

With its Internet deal, Tuvalu entered the 21st century with prospects for dramatic economic growth. Royalties from the first year provided over US$20 million or US$2,272 for every Tuvaluan. These funds formed the core of a new government trust fund. If the royalties are as much as expected, the standard of living on Tuvalu will rise considerably. The government indicated that some of the revenues would be spent on communication links with the outer islands and the rest of the world. Some observers are concerned that the newfound wealth of the nation may destroy the traditional society and lifestyles of the islands. In addition, continued global warming, with the subsequent rise in ocean levels, and population increases have exerted considerable land pressure on the tiny nation.