It seems the Marshall Islands may already be the first country to be plunged into disaster following rising oil prices. Essentially the island can’t afford to buy the diesel fuel it needs to provide electricity on the island (from Google News):

Marshall Islands declares ‘economic emergency’ over energy crisis

MAJURO (AFP) — The tiny western Pacific island nation of the Marshall Islands has declared a state of economic emergency as soaring fuel prices threaten to shut down electricity supplies.

Failure to resolve the fuel crisis could lead to a “disaster of unimaginable magnitude,” President Litokwa Tomeing said in a statement late Thursday.

…

“Without electricity everything will come to a standstill,” Finance Minister Jack Ading told visiting Asian Development Bank officials this week.

“The adverse effects of this global fuel crisis, its intensity and severity, are even more acute and destabilizing on small island states like the Marshall Islands with practically no means to protect itself from external pressures and shocks,” he said.