From the House by Pesi Fonua

Tonga’s government is once again proposing a deficit National Budget, with a $38 million pa'anga deficit in its estimates for the coming year 2021-22.

When the Minister of Finance tabled his Budget Statement in Parliament on May 25, he proposed a $618.3 million National Budget for 2021-2022.

The Budget Statement gives an overview of the National Budget that is scheduled to be tabled in the House on Monday May 31.

This week Hon. Tevita Lavemaau, with confidence, told parliament that he could balance his $38 million deficit without having to borrow money, citing the theme “By God’s Grace we are saved through Faith”.

According to the Ministry of Finance’s Budget Statement, 80% or $492.5 million of the national revenue is appropriated cash and 20% or $125.9 million is in kind (non-monetary receipts).

The budget is larger than last year’s budget of $589.6 million pa‘anga for 2020-21.

The 2021-2022 National Budget of $618.34 million has seven priority areas, identified as:

• Health Development - $117.52m.
• Combating Illicit Drugs and addressing National Security issues – $41.28m.
• Economic Development and Recovery - $57.87m.
• Education Development - $74.64m.
• Infrastructure Development - $53.05m.
• Public Sector Reform - $186.91m.
• Resilient and Sustainable Recovery - $87.08.

Budget Statement Choir

Hon. Lavemaau concluded his presentation to parliament with a virtual show of his staff singing a song he composed based on the religious theme of his Budget Statement.

To complete the process of government tabling the Budget Statement to the House, Hon. Lavemaau asked for each Cabinet Minister to comment on their budget allocations.

Ten Cabinet Ministers, who were present, gave brief summaries of their operations, and what they hoped to achieve in the coming financial year, and their needs.

The Prime Minister, Hon. Rev Dr Pohiva Tu‘i‘onetoa, the last to speak, commented on six entities that received budget allocations.

The Chairman of the Whole House Committee, Lord Tu‘i‘afitu opened the floor for comments and questions on the Cabinet Ministers’ brief presentations.

The Tongatapu No. 4 People’s Representative, Mateni Tapueluelu, queried why there were no clarifications on the state of Cabinet Ministers’ work plans.

The Tongatapu No. 1 People’s Representative, Siaosi Pohiva, supported Mateni and said that out of the government’s 25 work projects, there had been no reports on how much money had been invested, and what had been achieved.

Hon. Samiu Vaipulu, told members that there are annual reports to come with the information that they wanted to know.

Siaosi Pohiva insisted that they needed the information now to clarify issues that were highlighted in the budget.

The PM pointed out that there was a column on Estimated Costs in the budget, and “that is enough”.

Siaosi pleaded that he wanted the information to make a decision.

Hon. Lavemaau, reminded the members that the decision was to be made by the Prime Minister and the Ministers.

The Tongatapu No. 9 People’s Representative, Penisimani Fifita, reminded the House of the King’s opening speech to parliament and that the responsibility of the House is to assess the work of government.

Lord Tu‘i‘afitu reminded the member that Cabinet Ministers’ reports had to go through the Auditor before they were tabled into the House.

Siaosi Pohiva elaborated that they were not seeking an annual report, but if a Cabinet Minister told the House that a project had been completed then: “How much has been spent?”

Hon. Poasi Tei reminded the member that a project and its finance had been passed by the House, “so if it has been passed, let’s move on.”

After lunch, the Speaker of the House reminded members that to find information on how government money is spent they had to study the annual budget, “and if you are not happy you can file a petition.”

The House closed on Thursday, but there were still a number of unanswered questions about the Budget Statement.