The Budget theme for FY 2022, ‘By God’s grace we are saved through faith’, will emphasize and support Government’s plans and initiatives, to respond to the prolonged impacts of the COVID-19 pandemic and economic recovery with an aspiration that the current challenges will pass.
The areas of focus for the FY 2022 budget will continue to prioritize ‘health’, given the need to combat COVID-19. Other priority areas will still need to be addressed. These include continued efforts to recover growth in the economic sectors including agriculture, fisheries and tourism given their major contribution to economic growth. Other priority areas include infrastructure development; combatting illicit drugs; education; affordable energy sources; reducing the impact of climate change and disaster risks, as well as preserving the environment; and Government reforms including e-Government.
Ongoing partnership, strong coordination and collaboration is important across Government and key stakeholders, including the private sector, civil society organisations and development partners, to ensure effective and efficient implementation of Government priorities. This is critical in view of Government’s limited financial capacity.
The budget statement has seven sections as follows:
Section 3: Provides a broad summary of macroeconomic & fiscal outcomes and outlook for Tonga. The GFS classification of the FY 2022 budget is also covered in this section. This includes the main drivers and key assumptions for the GDP forecasting, government’s debt position, Monetary Policy Actions, Social Development and Risks.
Section 4: Introduces the TSDF II and Government Priority Agenda (FY 2022-2024) outlining the seven strategic areas of focus (highlights) and linkages to the Budget FY 2022;
Section 5: Discusses the FY 2022 Budget Estimate at a Glance;
Section 6: Provides the Government Budget by funding allocations for both recurrent and development estimates by ministry, by category, location and by funding sources;
Section 7: Provides the conclusion; and
Sections 8-11: Provide the Appendices with relevant detailed information and supporting tables for the budget as follows:
- Annex I: Macroeconomic & Fiscal Outcomes and Outlook;
- Annex II: Budget contribution to the Government Priority Agenda FY 2022;
- Annex III: Development Aid Classification; and
- Annex IV: Tropical Cyclones Gita and Harold Report.
Please find attach below for more information regarding Ministry of Finance Budget Statement 2021 - 2022