In 2025, Vanuatu has sealed its position as a country that is in demand among expatriates, retirees, and digital nomads. With breathtakingly beautiful landscapes, which include pristine beaches, lush jungles, and tranquil lagoons, the country offers a tranquil, idyllic lifestyle that appeals to those looking for refuge from the fast pace of city life. Along with natural beauty, Vanuatu attracts foreign investors with good tax policies: no income tax, capital gains tax, or inheritance tax. The cost of living in Vanuatu is very low compared to most Western countries and other Pacific islands; it is, therefore, practical for those who wish to enjoy a high quality of life at a much lower price.
Why Vanuatu in 2025?
The economy in Vanuatu remains well in 2025 due to a stable government that provides a business-friendly atmosphere. With low tax levies among other incentives of foreign companies, this puts a state in a better and attractive climate for both expatriates and entrepreneurs in general. This government is also very receptive to international investments; without most of the more traditional taxes, it remains a very attractive choice with people who would want to set businesses or seek jobs.
But aside from the money matter, Vanuatu is a country that has a really high quality of life: safety, friendly community, laid-back atmosphere-for those who wish to slow down the pace of life. And then, of course, there is much to enjoy outdoors: hiking, diving, and unspoiled nature to explore. The affordable healthcare system, both public and private, ensures that residents get quality medical care without much of the high costs commonly related to healthcare in most countries, making Vanuatu even more attractive as a long-term relocation spot.
Housing and Accommodation Prices in Vanuatu
Port Vila (Capital) vs Rural Areas
In Port Vila, the capital of Vanuatu, rental prices are notably higher compared to rural areas and smaller islands. For example, a one-bedroom apartment in the heart of Port Vila can cost between VUV 50,000 and VUV 80,000 per month, while the same accommodation outside the city center is generally priced between VUV 30,000 and VUV 50,000 per month. On the other hand, rural areas offer significantly more affordable housing, with one-bedroom apartments available for as little as VUV 20,000 to VUV 35,000 monthly, depending on the location and amenities offered.
Property Purchase
For those considering buying property, land in Port Vila can be quite expensive, with prices starting around VUV 5 million and increasing based on factors like size, proximity to the city, and development potential. While foreigners are allowed to purchase property in Vanuatu, there are restrictions on acquiring “customary” land, which is owned by indigenous communities and cannot be transferred to non-citizens. This limits foreign ownership to certain types of property, particularly in urban or non-customary areas.
Utilities
Utility costs in Port Vila vary based on the type of accommodation and usage, but on average, monthly expenses for electricity, water, and internet fall between VUV 10,000 and VUV 25,000. The cost of internet and mobile services is also quite affordable, with broadband plans typically starting around VUV 4,000 per month for basic packages, which can rise depending on the speed and data capacity selected.
Food and Grocery Costs in Vanuatu
The cost of food in Vanuatu is influenced by whether items are sourced locally or imported. In general, food prices tend to be higher for imported goods due to shipping and logistical costs. For an average single person living in Vanuatu, monthly grocery expenses can range between VUV 25,000 and VUV 40,000, depending on shopping habits and preferences.
Key Grocery Prices:
- Bread: Locally baked bread typically costs between VUV 250 and VUV 350 for a standard loaf. Imported bread may be more expensive, particularly in more remote areas.
- Milk: Local milk prices range from VUV 500 to VUV 700 per liter, with imported milk from Australia or New Zealand reaching up to VUV 800 per liter.
- Eggs: A dozen local eggs costs around VUV 600–800, while imported eggs can be priced as high as VUV 1,000.
- Fruits and Vegetables: Local, seasonal produce like bananas, papayas, and root vegetables (such as sweet potatoes) are relatively inexpensive. A weekly budget for fruits and vegetables can range from VUV 3,000 to VUV 5,000, depending on the types of produce and whether it’s grown locally or imported. Imported fruits like apples and oranges can cost more, sometimes up to VUV 1,000–1,500 per kilogram.
- Meat: Locally sourced meats (chicken, pork, and beef) range from VUV 1,800 to VUV 3,500 per kilogram. Imported meats may be priced higher, especially if they are specialty cuts or frozen. For example, frozen chicken can cost VUV 3,500 to VUV 4,500 per kilogram.
Local produce, especially items like root vegetables, tropical fruits, and freshly caught seafood, are often more affordable than imported goods, which makes shopping at local markets a cost-effective choice. However, imported goods like packaged snacks, cereals, and beverages can significantly increase grocery bills due to higher shipping costs. This price disparity is a key factor in determining your overall grocery budget, especially if you prefer imported products over locally grown food.
Dining Out in Vanuatu:
Dining out in Vanuatu provides a range of options to fit different budgets. For those looking to enjoy local cuisine or quick bites, meals are relatively affordable:
- Casual Dining: Meals at local restaurants or cafés typically range between VUV 1,500 and VUV 2,500 per person. These establishments offer fresh, local dishes such as fish, chicken, and rice, often paired with tropical fruits and vegetables.
- Mid-Range Dining: For a more varied menu or a dining experience in a higher-end restaurant, expect to pay between VUV 3,500 and VUV 5,000 per person. In these venues, the dishes may feature international flavors, seafood platters, or premium meats, and may also include a selection of beverages.
- Fine Dining: Upscale restaurants, particularly those offering fine dining experiences or located near the beach with scenic views, can charge anywhere from VUV 5,500 to VUV 10,000 per person for a meal. These places often serve gourmet seafood, prime steaks, or international dishes, offering a more refined atmosphere for special occasions.
Seafood, particularly fresh fish, lobster, and prawns, is widely available and often more affordable, especially in coastal towns where fishing is a primary industry. Freshly caught fish can cost between VUV 1,200 and VUV 2,500 per kilogram, depending on the type and market conditions.
Transportation Costs in Vanuatu
Public Transportation
In Port Vila, the capital of Vanuatu, the public transportation system is relatively basic, consisting mainly of shared taxis and buses. The bus service is limited, with tickets costing between VUV 100 and VUV 250 per ride, depending on the distance. Shared taxis, which operate on set routes or can be hired for private trips, usually charge between VUV 1,000 and VUV 2,000 for short rides within the city. While public transportation is available, it may not be the most convenient option, especially for those living outside the main urban areas or in more rural locations.
Car Ownership
Owning a car in Vanuatu is common, especially in urban areas like Port Vila, where public transportation is less comprehensive. Fuel prices are relatively affordable compared to many Western countries, with a liter of gasoline priced around VUV 200 to VUV 250. For those who choose to drive, car insurance costs can vary depending on the vehicle and coverage but typically range from VUV 25,000 to VUV 35,000 annually. Regular car maintenance, such as oil changes or tire replacements, is generally affordable, with costs depending on the type of vehicle and its condition. However, imported car parts and repairs may be more expensive than locally sourced alternatives.
Domestic Travel
Vanuatu’s islands are well-connected by both air and sea. Domestic flights between major islands, like from Port Vila to Santo or Tanna, typically range from VUV 5,000 to VUV 15,000, depending on the airline and route. These flights are essential for those traveling between islands for business or leisure. Additionally, ferries provide an alternative means of travel, especially for shorter routes or to smaller islands, with ticket prices generally lower than flights—around VUV 2,000 to VUV 5,000 for a one-way trip.
Walking and Cycling
Port Vila is relatively walkable, particularly in the city center where most businesses, restaurants, and shops are located. Many expatriates and locals rely on walking for short errands or leisurely strolls. Cycling is also a popular option for getting around, as the terrain is mostly flat in the urban areas. For those living in rural areas or on smaller islands, walking and cycling are often the primary modes of transportation due to the lack of extensive public transportation infrastructure.
Healthcare Costs in Vanuatu
Healthcare in Vanuatu is relatively affordable when compared to many Western countries, with both public and private options available for residents.
Public Healthcare
Public healthcare services in Vanuatu are provided at low or no cost to residents, although the quality can vary depending on the facility. While basic medical care, including general consultations, is often free or minimally charged at government-run clinics, the level of care may not always meet the expectations of expatriates, especially for more complex medical issues.
Private Healthcare
Private healthcare options are more widely available in urban areas such as Port Vila, where private clinics and medical centers charge an average of VUV 3,000 to VUV 10,000 for a standard consultation. Specialist care, such as consultations with cardiologists, dermatologists, or orthopedists, can cost between VUV 5,000 and VUV 15,000 per visit. Dental care, including routine check-ups or treatments like fillings and extractions, typically falls within the same price range, with more advanced treatments or surgeries being priced higher.
Health Insurance
For expatriates, obtaining health insurance is highly recommended to ensure access to private healthcare services. Health insurance premiums typically start around VUV 25,000 to VUV 40,000 per year for basic coverage, although this can vary depending on the provider and the level of coverage. Comprehensive coverage plans, which may include emergency evacuation and coverage for international healthcare, can cost more.
Prescription Medications
Prescription medications in Vanuatu are generally affordable compared to Western countries, but the price can vary based on the type of medication and whether it is available locally or needs to be imported. Common medications like pain relievers, antibiotics, or over-the-counter treatments typically cost between VUV 500 and VUV 2,000. However, more specialized or imported medicines can be significantly more expensive. It is advisable for expatriates to bring specific medications with them if they require regular prescriptions that are not readily available locally.
Education Costs in Vanuatu
For families considering relocating to Vanuatu, the education system offers both public and private options, with a strong emphasis on English-language education in most international schools.
Public Schools
Public education in Vanuatu is affordable, with most schooling being free for local children. However, expatriates may find that public schools might not always provide the same level of facilities or curriculum as those in their home countries. These schools typically follow a local curriculum, which can be different from international standards, and may not always offer the same resources or support for children who require specialized education.
Private and International Schools
For expatriates, international schools are the most popular choice, as they offer English-language education and follow curricula that are more familiar, such as the Australian or British systems. Tuition fees at these schools range between VUV 100,000 and VUV 400,000 per year, depending on the school and the grade level. These fees typically include basic education but may not cover additional costs such as uniforms, books, or extracurricular activities.
Extracurricular Activities
Extracurricular activities are an important part of student life and can enhance the educational experience. These activities, such as sports, arts, and music programs, usually come with additional costs, ranging from VUV 10,000 to VUV 30,000 per year, depending on the type and frequency of the activities.
Higher Education
Higher education options in Vanuatu are quite limited. There are a few local universities, but they generally offer a narrow range of courses. As a result, many students, particularly international ones, opt to study abroad or take online courses. For those pursuing higher education abroad, costs will vary depending on the country and institution but can range from VUV 200,000 to VUV 1 million annually for tuition, plus accommodation and other living expenses.
Families planning to move to Vanuatu should research local schools well in advance to understand tuition costs, educational standards, and available extracurricular options.
Entertainment and Leisure Costs in Vanuatu
Vanuatu is a paradise for outdoor enthusiasts, offering a wide range of recreational activities that cater to both adventure seekers and those looking to unwind. The costs for these activities can vary based on the type and location, but in general, Vanuatu remains an affordable destination for leisure and entertainment.
Outdoor and Eco-Tourism Activities
Vanuatu’s natural beauty makes it a prime location for eco-tourism and outdoor activities. Guided tours of the islands, including cultural experiences, hiking, and eco-adventures, typically range from VUV 2,000 to VUV 10,000 per person, depending on the duration and complexity of the tour. Activities such as snorkeling, scuba diving, and other water sports can also fall within this range, with diving trips or guided snorkeling tours costing between VUV 5,000 and VUV 12,000.
For those looking to explore the island’s volcanic landscapes or remote beaches, excursions like day trips or hiking adventures usually start at VUV 4,000 to VUV 8,000, and more specialized or longer tours can go higher, particularly for full-day packages that include meals or transportation.
Fitness and Sports
For fitness enthusiasts, Vanuatu offers a selection of gyms, with membership fees typically ranging from VUV 5,000 to VUV 15,000 per month, depending on the facilities and the type of membership. Some gyms offer basic fitness equipment and classes, while others may provide more comprehensive services such as yoga or personal training. For those interested in outdoor sports, such as tennis, golf, or water sports, fees for activities like court rental or equipment hire generally cost between VUV 1,000 and VUV 3,000 per session.
Dining Out and Socializing
Dining out is a popular and affordable way to enjoy the local culture, with prices varying depending on the venue. A casual meal at a local beachside café or a simple restaurant typically costs between VUV 1,500 and VUV 3,000 per person, offering a variety of local dishes such as seafood, grilled meats, and tropical fruits. For those seeking a more refined dining experience, upscale restaurants charge between VUV 5,000 and VUV 10,000 per person, with high-end establishments offering gourmet meals, seafood platters, or international cuisine.
In Port Vila and other urban areas, dining out is an affordable way to experience Vanuatu’s vibrant social scene. Whether enjoying a quick bite at a local café or indulging in a multi-course meal, there are plenty of options to fit different budgets.
Miscellaneous Costs in Vanuatu
Living in Vanuatu involves various personal and household expenses, many of which remain affordable compared to other global destinations.
Personal Expenses
Clothing and toiletries are generally inexpensive, with local markets offering basic clothing items such as T-shirts, shorts, and local fabrics priced between VUV 1,000 and VUV 3,000. For those looking for imported or branded products, prices may be slightly higher, especially in urban areas like Port Vila.
Mobile and Internet Services
Mobile phone plans and internet subscriptions in Vanuatu are reasonably priced. Monthly mobile phone plans, depending on data usage and service provider, typically range from VUV 1,000 to VUV 3,000. For home internet, broadband plans generally start from VUV 4,000 per month for basic packages, with faster connections or higher data limits costing around VUV 5,000 to VUV 8,000 per month.
Household Maintenance and Domestic Help
Household maintenance services, such as cleaning or gardening, are affordable. Domestic helpers typically charge between VUV 1,500 and VUV 3,000 per day, depending on the scope of work. Many expatriates employ domestic help on a part-time basis for cleaning, childcare, or general household chores. These services are widely available and are a common practice in both urban and rural areas.
Factors Affecting the Cost of Living in Vanuatu in 2025
Various factors, either internal or external, can influence the cost of living in Vanuatu. Among such global economic trends are changes in inflation and fluctuations in the rates of exchange of a country’s currency that eventually affect the price changes, particularly for imported goods. Due to the fact that most of the products sold in Vanuatu are imported, a disturbance in the supply chains or changes in the exchange rate hit the prices of these items directly.
A further and final seasonal factor on tourist products and services of Vanuatu is such that in places where larger amounts of tourists are usually concentrated in the main island-for example, Efate Island-demand for goods and services will lead to temporary jolts in the prices for food, accommodations, and transport during peak seasons.
Another factor that would lead to the determination of cost of living is local government policy. An increase or decrease in import duties, taxation, or governmental subsidies will lower or raise accordingly the prices of commodities and, hence, cost of living. Equally significant, tax incentives or even a change in regulations in respect to foreign investment and business operations could affect how well foreign expatriates and locals can afford to live in Vanuatu.
Conclusion
For the year 2025, Vanuatu has become an affordable and attractive destination to reside in for expats, retirees, and digital nomads. Although the cost of living in Port Vila, being the capital, is a little higher compared to other rural areas, it remains much cheaper than most Western countries and other Pacific Islands, hence a great option for those looking for a peaceful, relaxed lifestyle in a beautiful tropical environment.
The rent in Port Vila for a one-bedroom apartment ranges from VUV 50,000 to VUV 80,000 per month, while outside the city, it drops to VUV 20,000 to VUV 50,000. Utility bills for basic utilities like electricity, water, and internet usually range from VUV 10,000 to VUV 25,000 per month.
Food is cheap, mainly local produce of fruits, vegetables, and seafood. For groceries, one can pay anything between VUV 20,000 and 30,000 per month for a single person. As for dining out, there are options at affordable prices with casual restaurant meals costing about VUV 1,500 to 3,000, while better-quality meals could cost VUV 5,000 to 10,000 per head.
Meanwhile, transport is moderately cheap. A single ride in any public transport in Port Vila costs from VUV 100 to VUV 2,000. One liter of fuel costs around VUV 200 to VUV 250; car insurance is around VUV 25,000 to VUV 35,000 per year, while domestic flights or a ferry between islands cost between VUV 5,000 to VUV 15,000.
Health in Vanuatu is relatively cheap. The consultations in public clinics are free or at a low cost. Private consultations cost from VUV 3,000 to VUV 15,000. Health insurance for expatriates usually starts from VUV 25,000 annually.
Overall, Vanuatu offers a lower cost of living compared to Western countries, making it a great choice for those wanting a slower pace of life in a beautiful setting. Before moving, it’s important to research your preferred location and budget carefully. Reaching out to relocation services and local expatriate communities can help make the transition easier.
