“World Bank Assistance To Tonga-TOP$70 Million”

MEDIA RELEASE

(24 August 10)

“World Bank Assistance To Tonga-TOP$70 Million”

Tonga will receive a total of TOP$70 million (US$37.3m) in assistance, managed by the World Bank Group over the next 4 years. This was announced at a joint media conference between the Prime Minister, Dr. the Hon Feleti Vaka’uta Sevele, and the World Bank Country Director for the Pacific Islands, Papua New Guinea and Timor Leste, Mr. Ferid Belhaj, in Nuku’alofa today.

The Hon Prime Minister said that the programs to which the World Bank Group’s assistance is committed are the: Post - Tsunami Reconstruction in Niuatoputapu (US$5m); Tonga Budget Support (US$5m); Tonga Energy Road Map (US$8m); Tonga Cable Project (US$10). The Bank will also manage a Tonga Transport Sector (US$9.3m) grant funded by the Australian Government. These programs form part of the new Country Partnership Agreement between Tonga and the World Bank Group, and reflect a more focused and increased World Bank engagement with Tonga.

Previously Tonga was one of the countries included in the World Bank’s strategy for the Pacific Island Countries as set out in a single “Regional Engagement Framework” covering the period 2006-2009. The new Country Partnership Strategy for Tonga is “custom-tailored” to reflect Tonga’s specific economic and political circumstances and incorporates the support that can be provided from across the World Bank Group.

According to Mr. Ferid Belhaj, Tonga has been selected as one of the first Pacific Island country to implement a Country Partnership Strategy with the World Bank in recognition of the improvements in human development indicators and the good progress towards meeting the Millennium Development Goals (MDG) targets. “On top of that the present Tonga Government, under the leadership of Prime Minister Sevele, has shown a consistent commitment towards economic and political reform”, Mr. Belhaj said.

As well as the projects outlined, a further US$10m in budgetary support will be available to the incoming Government over the next 2 years on the understanding that economic and financial reforms are continued to be implemented next year and beyond

ENDS

© Scoop Media