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Tonga - Second Economic Reform Support Operation

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Development objective

Project Development Objective (Note: will be disclosed in the MOS)The objective of the proposed operation is to improve the mobilization and use of public resources, while addressing constraints in the private sector. The policy areas under consideration for the proposed operation include: i) Strengthening oversight of Government procurement; ii) improved alignment of budget allocations with ministry priorities as expressed in corporate plans; iii)rationalisation of tax exemptions; iv) encouraging private sector involvement in Government-owned business; v) electricity tariff reform to include a lifeline tariff for the poor; vi) reform to encourage foreign investment in fisheries and agriculture.Board Schedule Comments

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