Small island economies vary greatly in their nature, history/trends and viability under a changed climate. As elsewhere, few small island economies are overseen by governments that are adequately prepared for the economic impacts of climate change over the next few decades . In particular, the lack of diversity that characterises most small island economies means they are especially vulnerable to global  shocks , be these the impacts of extreme events or more gradual longer-term change, which makes the maintenance of traditional mechanisms for coping with such shocks in many island societies all the more important . As a result, the risk from climate change to economies constitutes a key risk  in small islands.
IPCC
Climate Change 2022: Impacts, Adaptation and Vulnerability
IPCC Report