Yesterday we discussed the findings from the first thematic report on island economies across the OECD, which will be released in February. This report, ‘Improving the quality of multi-level governance and strengthening the resilience of island economies of Croatia, Greece, and Sweden’, supported by the EU Technical Support Instrument, aims to help the three countries design and implement strategies for resilient island economies and improved citizens’ well-being.
Island regions across OECD countries form a small but distinctive group of territories. Their development is shaped by insularity, small scale, remoteness, limited land availability and, often, strong seasonality. These characteristics influence economic performance and the ability of firms to innovate and scale.
Small and fragmented markets, complex archipelagic structures and higher service-delivery costs can constrain competitiveness and limit well-being outcomes.
At the same time, islands present unique opportunities. They attract tourists and digital nomads, and many can serve as “living laboratories” for green, blue and digital transitions.
📊 The report offers new evidence on how island regions function and what sets them apart from other territories. Some initial takeaways include:
• Island regions differ significantly from coastal regions, highlighting the need for better definitions and indicators to understand their unique trends and drivers of growth.
• Population trends show a paradox. Islands in Greece, Croatia and Sweden have grown faster than national averages despite lower GDP and productivity growth.
• Insularity leads to a cost penalty. Transporting goods and services is more expensive due to distance and fragmentation. Public support can help level the playing field, although long-term competitiveness depends on each island’s capacity to activate its own growth potential.
More insights will follow as we move toward the February release.
#OECD #RegionalDevelopment #IslandEconomies #EUReform #TechnicalSupportInstrument #Governance #MultilevelGovernance #BlueEconomy #GreenTransition #DigitalTransition #TerritorialPolicy #RegionalPolicy #InclusiveGrowth #Croatia #Greece #Sweden #PublicPolicy #EconomicDevelopment
Stefano Barbieri Eduardo Rodriguez Montemayor Geoff Upton Jeroen Michels Josh Wood Maria-Varinia Michalun Roland Engkvist Elodie Boulch Cecilia Lindblom Erik Bäckström Maria Ahlsved Manolis Koutoulakis Zrinka Raguž
