Fourteen months after a powerful earthquake devastated Port Vila, Vanuatu’s capital is signalling a confident return to business, with a wave of hotel reopenings and new tourism investment helping drive recovery across the island nation.
At the centre of that resurgence is the Grand Hotel and Casino Vanuatu, which has just reopenedafter an extensive restoration program prompted by the December 2024 quake. The relaunch of the 74-room waterfront property – a central, four-star hotel overlooking the harbour – is a milestone in the capital’s renewal.
Vanuatu, an archipelago of 83 islands two hours and 40 minutes by plane from Brisbane, has long relied on tourism as a key economic driver. The earthquake killed 14 people and injured hundreds more, disrupting operations along parts of Port Vila’s harbour and forcing the temporary closure of several properties. However, 2025 has been marked by progressive reopenings, refurbishments and new ventures – particularly on Efate, the island home to the capital, which was hardest-hit.
Following the reopening of its casino in December 2025, the Grand Hotel restoration includes strengthened internal framing and a full re-engineering of core systems, going beyond cosmetic repairs to future-proof the landmark property.
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The refreshed hotel features reinstated harbour-view rooms and suites with private balconies and marble bathrooms, and upgraded dining spaces including the Grand Dining Room and Cabana Pool Bar.
The reopening comes as Vanuatu’s broader tourism sector records a strong rebound. According to Ignite Travel Group, bookings to the South Pacific destination have increased 29 per cent year-on-year. The Vanuatu Tourism Office reports a 27 per cent rise in Australian arrivals during the first eight months of 2025 compared with the previous year, overtaking total 2024 arrival numbers.
Tourism officials say Australian travellers have been instrumental in the recovery effort.
“We are so grateful for the support from our Australian neighbours, which has boosted Vanuatu’s recovery following the earthquake,” says Adela Issachar Aru, chief executive of the Vanuatu Tourism Office.
Among the properties reopening or debuting in 2026 is Turtle Cove Villas, a new four-villa development on Efate’s north side, which opened in January. The popular Holiday Inn in Port Vila is undergoing restoration and is expected to reopen by mid-2026 with a refurbished accommodation wing.
Several boutique resorts resumed operations late last year. The Havannah, an adults-only property on Efate’s north-west coast, reopened in November after nearly a year of closure, returning its 17 private villas to the market. Tamanu on the Beach also reopened in November following renovations, unveiling new beachfront villas along Efate’s south coast.
E’Nauwi Beach Resort, south-west of Efate, opened for the first time with 16 beachfront bungalows, while Ratua Private Island Resort off Espiritu Santo has refreshed both rooms and its dining experience.
New food and beverage offerings are also contributing to the destination’s momentum. Mali Beach Club, a new beachfront restaurant on Mele beach, is drawing visitors with cocktails and casual dining overlooking the water.
Air capacity is expanding in step with demand. Qantas increases service to daily flights between Brisbane and Port Vila from this month. Solomon Airlines is adding two additional services on its Brisbane-Espiritu Santo route, while Virgin Australia operates four flights a week between Brisbane and Port Vila. Jetstar has flights from Sydney.
For local operators, the steady stream of reopenings signals more than improved occupancy rates. It represents employment returning, supply chains reactivating and confidence rebuilding among investors and travellers alike.
In the wake of natural disasters, small island economies often face prolonged recovery periods. Vanuatu’s tourism rebound is a good-news story of co-ordinated restoration, regional support and an appetite among Australian travellers for short-haul Pacific escapes. See grandvanuatu.com, vanuatu.travel/au
Julietta Jameson is a freelance travel writer who would rather be in Rome, but her hometown Melbourne is a happy compromise.Connect via email.
