Editing Politics of Nauru (section)

===Environmental concerns===
Phosphate depletion will likely be one of the most important considerations for the government in the next few years as the supply was forecast to be exhausted by 2023{{Citation needed|reason=No source, also this is expired?|date=December 2024}}. Since Nauru imports almost everything it consumes (including food, water and fuel) the need to diversify the economy and to generate other sources of revenue is of paramount importance.

As noted above, offshore banking has been one arena into which Nauru has traversed, however, the rewards are limited by growing concern about the ethical parameters of this business. Tourism is another industry that is also being gradually built.{{Citation needed|date=December 2024}}

Yet another concern is the [[Environmental degradation|ecological damage]] that resulted from a century of phosphate mining by the United Kingdom, Australia and New Zealand were responsible for the large scale and indiscriminate mining of phosphate on the tiny island for most of the 20th century.

The mining left an ecological and economic disaster for Nauru to handle when the country achieved independence in 1968. Not only was the country's principal resource and employment generating activity almost entirely depleted by the rapid mining done by the three countries, the mining companies had also failed to follow the basic principles of restoring and regenerating the lands where mining had been completed. Thus, Nauru was left to handle the immense and expensive task of restoring large chunks of land which were destroyed by the mining.

Nauru demanded compensation from the three nations, but was refused.{{Citation needed||date=December 2024}} Finally, in 1993, Nauru was forced to turn to the International Court of Justice at The Hague in The Netherlands. It filed a claim of $73 million against the three countries. The case was soon afterwards settled out of court by Australia, with Britain and New Zealand also contributing to the reparations sought by Nauru.

Today, Nauru is almost totally dependent on trade with New Zealand, Australia and Fiji. Arable land is very limited as are all other natural resources, now that its long-time economic base of phosphate mines has been almost completely depleted.