Seasonal climate forecasts play a critical role in building a climate-resilient society in the Pacific Island Countries (PICs) that are highly exposed to high-impact climate events. To assist the PICs National Meteorological and Hydrological Services in generating reliable national climate outlooks, we developed a hybrid seasonal prediction system, the Pacific Island Countries Advanced Seasonal Outlook (PICASO), which has the strengths of both statistical and dynamical systems. PICASO is based on the APEC Climate Center Multi-Model Ensemble (APCC-MME), tailored to generate station-level rainfall forecasts for 49 stations in 13 countries by applying predictor optimization and the large-scale relationship-based Bayesian regression approaches. Overall, performance is improved and further stabilized temporally and spatially relative to not only APCC-MME but also other existing operational prediction systems in the Pacific. Gaps and challenges in operationalization of the PICASO system and its incorporation into operational climate services in the PICs are discussed.