By Katalina Sisau

The Tonga Legislative Assembly unanimously passed the 2025 Supplementary Appropriation Bill, with all 23 Members of Parliament voting in favour, yesterday 9 April, in Nuku’alofa. Finance Minister, Prime Minister Hon. Dr ‘Aisake Eke announced that the TOP$31 million budget will fund several key government initiatives, with the largest allocation being $10 million for roads infrastructure.

Prime Minister Eke said last week at a media a briefing that funding for government initiatives was sourced from the current budget and contributions from development partners.

The $31 million Supplementary Budget includes funds for road infrastructure, government investments in Lulutai Airlines Limited and Tonga Development Bank, housing relief, student loan schemes, increasing the government emergency fund, providing financial support for high school students, and to complete the construction of foreshores in Pangai, Ha'apai.

Road infrastructure

The government allocated $10 million to address road disintegration and improve road infrastructure in Tongatapu, which includes repairs in outer islands.

TDB shares

An increase of $5.3 million in shares was allocated to the Tonga Development Bank (TDB).

Housing relief

An allocation of $5 million will help to complete housing for individuals displaced by the 2022 Hunga Tonga-Hunga Ha’apai eruption, with completion expected by June.

Student loan scheme

The student loan scheme has been allocated $5 million, from Australia’s budget support to Tonga. This will support 1% interest loans for tuition fees for students pursuing higher education studies overseas.

PM Dr. Eke said the previous government discontinued this scheme, diverting $7.8 million from its $18 million budget to increase government shares in the Tonga Development Bank. Therefore, PM Dr. Eke aims to reinstate the student loan scheme.

Lulutai Airlines shares and special fares

The government has allocated a $2 million investment in Lulutai Airlines Limited which is "to make sure they maintain airline services," said the PM.

Minister for Public Enterprises Hon. Piveni Piukala, said that this funding will restore services, build public confidence, and would also support the annual Free Wesleyan Church (FWC) Conference in Ha’apai this year by offering people minimal cost flights.

Emergency fund

An allocation of $2 million has been made to the government’s Emergency Fund, which will address flooding, evacuation centers, water security, and health issues, among other emergency needs, according to Deputy PM Hon. Dr Taniela Fusimalohi.

SET project

Budget funds from the New Zealand government have been allocated to continue financial support for 3,600 students under the World Bank’s SET Project, which is set to conclude in June 2025. The allocated fund is $1.4 million, said PM Eke.

Pangai foreshore construction

The final stage of construction of the Pangai, Ha’apai foreshore has been allocated $300,000, also funded by Australia’s budget support to Tonga.

According to the Parliament office, “the Public Accounts Committee has thoroughly reviewed the Bill, and the Prime Minister, in his role as Minister for Finance, has assured that its provisions will be closely monitored.”