Tourism is a growing market in the Pacific region. It is a vital part of the economic fundamentals for Pacific Island Countries and can provide many benefits to this region. The environment in these countries is of key importance to the sustainable growth of this sector, but is affected by climate change as well as Government policies within the areas of tourism, environment, planning and climate change. Climate change is already affecting the Pacific islands by adding to current stressors and the development of new threats to the natural, social and economic spheres of this region. Vanuatu has over the last decade experienced a significant growth in tourism and this has come to be a vital economic sector. It contributes significantly to the country's GDP and represents the largest foreign exchange earner. The majority of tourists in Vanuatu partake in diving activities at some point during their stay and thus dive tourism represents an important sub-sector. Small Island Developing States (SIDS) have been highlighted to be more vulnerable to climate change. Therefore, adapting and building resilience will be key factors for Vanuatu to address.

This paper provides an overview of the policy environment in Vanuatu. It highlights the policies that are directly impacting on the dive sector. It identifies the types of adaptation processes (explicit, implicit and functional) and critically analyses the current dive tourism related policies for their effectiveness in assisting the country and the dive tourism subsector deal with climate change. This study found that the Vanuatu policies impacting on the dive tourism sector are mainly dealing with climate change through functional adaptation processes and that a change to
wards a more explicit approach to climate change is needed  to ensure a sustainable tourism industry in Vanuatu.