Lowy Pacific Aid Map shows Australia now dominant lender and infrastructure investor
The Lowy Institute's latest Pacific Aid Map reveals that Australia has overtaken China as the primary lender and infrastructure investor in the Pacific region. Australia now accounts for 37% of development spending, significantly outpacing other nations and signaling a shift in regional geopolitical influence.
Why it matters
This shift marks a major change in Pacific power dynamics, as Australia seeks to counter Chinese influence while managing the risks of regional debt sustainability.
The Australian government provides about 37 per cent of development spending to the Pacific. ( Supplied: Department of Defence )
The latest Lowy Institute Pacific Aid Map has found that Australia has supplanted China as the dominant lender and infrastructure investor across the Pacific.
The federal government provided around 37 per cent of all development spending in the Pacific in 2024.
The Asian Development Bank and the World Bank are still major lenders in the region, contributing 11 per cent and 10 per cent of total overall development spending respectively.
Link copied Share Share article Australia has supplanted China as the dominant lender and infrastructure investor across the Pacific as the government ploughs billions of dollars into the region through both foreign aid and loans.
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