Nauru is often cited as a cautionary tale of the resource curse. It is a nation that reached the pinnacle of global wealth in the 1970s only to face a staggering economic crash. But for Flywheel Economics, the true story of Nauru isn't the collapse; it’s the recovery.

In this episode, we sit down with Andrew Keith to deconstruct Nauru’s "roller coaster" economy. We trace a path that began with near-oblivion during the Japanese invasion of WWII, peaked with untold riches, plummeted into desperate poverty, and is now remarkably pivoting back toward high-income status in 2026. This is a masterclass in economic adaptability. Whether you are interested in Public Financial Management, emerging markets, or the sheer grit of island nations, this conversation reveals what it takes to build a flywheel of prosperity when the traditional rules of growth are rewritten by necessity.

Special thanks to our guest, Andrew Keith (Economist and PFM Expert) for his invaluable insights.

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