31 May 2017

ADB approves funds to strengthen Tonga's economy

3:33 pm on 31 May 2017

The Asian Development Bank has approved financing to help Tonga strengthern its economy and insulate itself from external economic shocks.

Tonga prepares for arrival of the Queen Mother

Tonga prepares for arrival of the Queen Mother Photo: Matangi Tonga/ Peter Poulsen

The $US5 million dollars is part soft loan and part grant.

It is the second stage of a three part programme for the 'Building Macroeconomic Resilience Program for Tonga'.

A principal economist, Ananya Basu, said the Tonga government is undertaking important policy reforms to strengthen public financial management, promote healthy lifestyles, and improve the performance of state-owned enterprises.

Ms Basu said the ADB program will help further improve the country's fiscal position and business environment.