Editing Economy of Samoa (section)

==Natural disasters==
{{Update|section|date=March 2021}}
The effects of three natural disasters in the early 1990s were overcome by the middle of the decade, but economic growth cooled again with the regional [[Recession|economic downturn]]. Long-run development depends upon upgrading the tourist infrastructure, attracting [[Foreign direct investment|foreign investment]], and further diversification of the economy.{{cn|date=March 2021}}

Two major [[cyclone]]s hit Samoa at the beginning of the 1990s. [[Cyclone Ofa]] left an estimated 10,000 islanders homeless in February 1990; [[Cyclone Val]] caused 13 deaths and hundreds of millions of dollars in damage in December 1991. As a result, gross domestic product declined by nearly 50% from 1989 to 1991. These experiences and Samoa's position as a low-lying [[Island nation|island state]] punctuate its concern about [[Climate change|global climate change]].{{cn|date=March 2021}}

Further economic problems occurred in 1994 with an outbreak of taro leaf blight and the near collapse of the [[Flag carrier|national airline]] [[Polynesian Airlines]]. [[Taro]], a [[Root vegetable|root crop]], traditionally was Samoa's largest export, generating more than half of all export revenue in 1993. But a fungal blight decimated the plants, and in each year since 1994 taro exports have accounted for less than 1% of [[export revenue]]. Polynesian Airlines reached a [[financial crisis]] in 1994, which disrupted the tourist industry and eventually required a government bailout.{{cn|date=March 2021}}

The government responded to these shocks with a major program of road building and post-cyclone infrastructure repair. Economic reforms were stepped up, including the liberalization of [[Foreign exchange controls|exchange controls]].{{cn|date=March 2021}} GDP growth rebounded to over 6% in both 1995 and 1996 before slowing again at the end of the decade.<ref>{{Cite web |title=GDP growth (annual %) – Samoa |url=https://data.worldbank.org/ |access-date=2024-03-20 |website=World Bank Open Data}}</ref>