Government aims for healthy 2015-16 budget with cheaper food and new sports facilities

PHOTO: Minister for Finance Dr ʻAisake Eke

The price of chicken, tinned fish and other imported food is down and the airport departure tax has gone up in Tonga’s new budget.

The government hopes the results will be longer lives for Tongans and new sports facilities for the South Pacific Games that will be used by the kingdom’s young sportsmen and women for years to come.

In announcing the budget, Finance Minister Dr Eke said the government had made the national diet a priority in an attempt to increase the kingdom’s life expectancy from an average 65 – 69 years to 70 – 75.

He said the government understood people were free to choose what food they ate, but it was the government’s responsibility to make sure people had access to healthier, cheaper, food.

Under the new budget the price of imported chicken would be reduced to only 17.5 percent increase and tinned fish would be 12.5 percent cheaper.

Dr Eke said an inquiry had found that the price of chicken had risen by 51 percent, while the retail price of tinned fish had increased by 33 percent.

He described the finding as “shocking.”

Price rises include an increase in the airport departure tax and foreign exchange charges, which will go towards the cost of preparing for the South Pacific Games in 2019.

Customs and Revenue Minister Tevita Lavemaau said Tonga had one of the lowest airport departure taxes in the South Pacific.

The government has increased the airport departure tax from TP$65 to TP$165. This is expected to bring in TP$5.5 million a year to help with new facilities and buildings to be constructed for the Games.

Hon. Lavemaau said the facilities funded by the increased airport tax would be used after the Games by Tonga’s young sportsmen and women.

New charges will be imposed on foreign exchange, from which the government expects to collect TP$2 million a year to help fund preparations for the Games

Tonga’s budget for the 2015-16 financial year will be almost TP$500 million.

The new budget has risen by TP$26.9 million from last year to TP$329,707,700.

The total amount in the budget will rise to TP$496,324,600 when an estimated TP$166,614, 900 of overseas donor funds is received.

The biggest beneficiaries in the budget are the government’s central agencies, which will receive more than TP$99 million and social services, which will receive just over TP$94 million.

The 2015-16 budget has been allocated into seven main sectors.

  1. Constitution which includes Palace Office, Parliament, Auditorʻs Office and Public Relation Commission has an allocation of TP$13,096,500.
  2. Foreign Affairs and His Majesty’s Armed Forces – TP$18,043,200.
  3. Central Agencies – TP$99,925,400.
  4. Law and Order – TP$25,092,800.
  5. Social services which includes Health, Education and Internal Affairs – TP$ 94,632,500.
  6. Trade, Tourism, Agriculture and Fisheries – TP$20,353,900.
  7. Infrastructure, Land and Survey, Environment and Energy – TP$58,565,100.

The main points

  • The price of chicken and tinned fish is down and the airport departure tax has gone up in Tonga’s new budget.
  • The government hopes the results will be longer lives for Tongans and new sports facilities for the South Pacific Games that will be used by the kingdom’s young sportsmen and women for years to come.
  • The budget for the next financial year will be almost TP$500 million when overseas donor money is included.
  • The biggest beneficiaries in the budget are the government’s central agencies, which will receive more than TP$99 million and social services, which will receive just over TP$94 million.

For more information

Tonga govt present bigger budget than last year (RNZI)

About The Author

Sometimes when a business is growing, it needs a little help.

Right now Kaniva News provides a free, politically independent, bilingual news service for readers around the world that is absolutely unique. We are the largest New Zealand-based Tongan news service, and our stories reach Tongans  wherever they are round the world. But as we grow, there are increased demands on Kaniva News for translation into Tongan on our social media accounts and for the costs associated with expansion. We believe it is important for Tongans to have their own voice and for Tongans to preserve their language, customs and heritage. That is something to which we are strongly committed. That’s why we are asking you to consider sponsoring our work and helping to preserve a uniquely Tongan point of view for our readers and listeners.

spot_imgspot_imgspot_imgspot_img

Latest news

Related news