The Minister of Finance, Lautimuia Uelese Vaai will be tabling the main budget for 2024-2025 when Parliament reconvenes on Tuesday after its last sitting two months ago. 

Lautimuia has kept the cards close to his chest on what he has planned for the next financial year but assures the nation’s economy is in good condition. 

“Cabinet has endorsed the budget and will be tabled in Parliament tomorrow,” he told the media. 

“The only thing I can tell you is that it’s a good financial plan and our economy is well. We have a forecast for the next five years going forward which is in a good position and will be disclosed in due course.” 

The country will be hosting the biggest high level meeting in October bringing to the Pacific for the first time the Commonwealth Head of Government Meeting. 

$21 million was allocated in the current financial year to accommodate the meeting, and Lautimuia said if there were any additional costs needed for CHOGM, it would be revealed in his budget address. 

The $1 million development grant is still on the priority list of the government to ensure election promises are delivered and will likely be a major expenditure in the upcoming budget. 

It is more than likely that the budget announcement will be more than the $1.08 billion allocation in 2023-2024. 

The establishment of a new Ministry of Sports and Recreation, Exports Authority, and Ministry of Lands and Survey will be another major output included in the new financial year to enable to operation of the new Ministries.     

The increase in the minimum wage is another factor that could impact the budget if the Government decides to implement the minimum wage review (to be done every two years) in the new financial year. 

The current minimum wage is SAT$3 per hour and was last raised in 2020. 

The Labour and Employment Relations Amendment 2023 effective in February this year included a crucial amendment to review minimum wage every two years.