28 Oct 2003

Review shows needs for multi-million dollar injection into Tonga's national airline

9:29 pm on 28 October 2003

The Tonga Government has been told it needs to inject nearly ten million US dollars into the national carrier, Royal Tongan Airlines, to ensure it remains solvent..

That's the view of KPMG Financial Advisory Services of Fiji, which was asked by RTA to review the company's financial position.

Their report was released in the Legislative Assembly after queries from the people's representatives.

KPMG found that RTA had lost more than double its budgetted shortfall to the end of the financial year at March 31st this year.

It put much of this down to the non achievement of revenue targets and low loadings on the 757 jet RTA had leased from Royal Brunei from November last year.