You'd have to be creative with the economy. Nauru is literally made of shit. The phosphate-rich soil has been basically completely mined, so it has very little natural resources. It's very expensive to have humans living on an island with little natural resources. You'd have to be very creative in your business model to make this work. But I imagine that's your point entirely: the business model would be founded on the "benevolent" dictatorship which would have the latitude to create a completely unique economic system that could attract particular types of business ventures.