The aid organisation, World Vision, is calling for the Vanuatu Government to look at other options before it considers relocating the squatter settlements in Port Vila.
Tens of thousands of people are estimated to be living in settlements in the capital, and the Government says it's in talks with donor partners about helping relocate them to the suburbs.
The National director of the World Vision Pacific Development Group, Curt Von Doguslawski, says relocation usually doesn't work in Pacific countries.
"Relocation would certainly be problematic because the law and order situation in some of these settlements has been a problem already, so it'll be a real problem trying to relocate people, and sending them to the rural settings without really preparing the ground for people going back, would not help as well."
Curt Von Doguslawski says the Government should look at creating opportunities, so people are more likely to remain in their rural communities in the first place.