Tonga: Asian Development Bank Member Fact Sheet 2017

Abstract

Tonga faces challenges typical of many small island economies, including geographic isolation, limited human and financial resources, a small domestic market, and high costs of doing business and delivering services. The country’s economy depends on inflows of remittances and external assistance to supplement domestic revenue. Tonga’s medium-term development depends on the continued implementation of structural reforms to improve productivity, remove bottlenecks to growth, and strengthen macroeconomic resilience. The Asian Development Bank (ADB) began working with Tonga in 1972.It has since committed loans, grants and technical assistance totaling $194.17 million. The active portfolio includes six projects totaling $77.4 million. Cumulative disbursements to Tonga for lending and grants financed by ordinary capital resources, the Asian Development Fund, and other special funds amount to $110.6 million.