Private sector development initiative Market Development Facility (MDF) has widened its
focus to three new Pacific Island Countries, with work beginning this year in Samoa. MDF,
funded by the Australian and New Zealand Governments, will look to strengthen innovation
and market-driven solutions in select sectors in Samoa, Tonga and Vanuatu.
MDF’s Pacific Regional work is based on developing successful business models in Fiji,
Pakistan, Papua New Guinea, Sri Lanka and Timor-Leste, collaborating with national
governments, industry associations, and businesses of all scale
MDF’s Pacific Regional portfolio reflects the Australian and New Zealand Governments’
commitment to supporting market-based solutions to increase economic participation in the
Pacific. The program will focus on improving livelihoods and reducing poverty through these
solutions. MDF’s key areas of focus will be agriculture, Information and Communications
Technology, transport and logistics, and business development services. MDF will also
explore opportunities to support women’s economic empowerment and investment in climate
change adaptation and mitigation.
Initial work underway includes a collaboration with United Nations Capital Development
Fund (UNCDF) and Asian Development Bank on the Pacific Islands Fintech Innovation
Challenge, with MDF supporting the challenge in Samoa.
“The Australian Government is committed to supporting our Blue Pacific family as they
continue to respond to the impacts of COVID-19 and climate change,” Emily Luck,
Australia’s High Commissioner to Samoa said. “We know the pandemic has exacerbated the
economic and social wellbeing of the Pacific, and we are pleased to support the critical work
of MDF that builds resilience and contributes to sustainable economies for our region.”
“Aotearoa New Zealand is dedicated to supporting a peaceful, secure, prosperous and
resilient Pacific. The region faces challenges such as limited economies of scale,
remoteness, poor infrastructure, which are now compounded by the impacts of the pandemic
and natural disasters. We are pleased to support MDF in its work to support sustainable
economic growth in the Pacific and respond to these challenges.” New Zealand’s High
Commissioner to Samoa, Dr Trevor Matheson said.
MDF Pacific Regional Director Nicholas Wolf admits the work will be challenging but is
optimistic of the positive impact the program will have in supporting innovative business
models.
“We have already started some scoping work and have identified some markets where MDF
could play a helpful role. Market systems are dynamic in nature, and the economic
landscape has changed greatly in the last two years. We look forward to collaborating with
the Samoan Government and the private sector, and capitalising on emerging economic
opportunities,”,” emphasised Wolf.
In its scoping work – a key first step in starting operations in-country – MDF scours the
economy to understand key sectors and pin down areas which are feasible for support and
will have a strong impact on incomes and jobs.

MDF has leveraged USD24.8million in private sector investment since it started in 2012,
which had benefitted a cumulative 439,447 people by the end of 2021. Women make up 44
per cent of this number and generated USD157 million in additional income.