Tonga Parliament passes Government Budget for 2026/2027

The Legislative Assembly of Tonga has passed the 2026/2027 Government Budget, with amendments, following extensive deliberations and scrutiny by Members of Parliament.

The total budget amounts to $949.4 million of which $735.2 million is in cash and $214.2 in the form of in-kind contributions committed by development partners.

A budget deficit of $38.1 million is forecast under 2026/2027 Budget. The anticipated deficit will be funded by $35 million government bonds and $3.1 million drawn from cash reserves.

The Prime Minister and Acting Minister for Finance, Lord Fakafanua, tabled the Government Budget in Parliament on May 18th. After its First Reading, it was then referred to the Standing Committee on Finance and Public Accounts for examination, which later submitted a report containing recommendations to Parliament.

Parliament subsequently referred the Budget and the accompanying documents to the Whole House Committee for detailed consideration.

The Whole House Committee considered all 29 votes under the Budget before its Chairman, Lord Tu’ilakepa, reported the Committee’s deliberations back to Parliament.

Parliament then resumed consideration on the Budget, proceeded with its Second and Third Readings and passed it.

The House also approved the Government Financial Statements for the year ended 30th June 2025, Motion for Resolution 1 2026 for the approval of Government loan exceeding $15 million, and the Auditor General’s Draft Annual Plan 2026/2027.

Speaking in Parliament today, Lord Fakafanua and Lord Vaea conveyed their appreciation to Honourable Members of Parliament for their dedication and cooperation in passing the Budget.

The House is adjourned until next Monday.