The Samoa Government has tabled a $1.5 billion tālā Budget for the 2026/2027 financial year, with major allocations for the fuel supply crisis, district development, pensions, child wellbeing, health, education and business support.
The Budget Address was delivered in Parliament on 26 May 2026 by Minister of Finance Mulipola Anarosa Ale Molio’o under the theme “AIGA – Accelerating Inclusive Growth and Access.” The Budget is also the first under the new Pathway for the Development of Samoa 2026/2027 to 2030/2031.
The Government has projected total receipts of $1.28 billion tālā and total expenditure of $1.5 billion tālā. This leaves a cash deficit of about $215.9 million tālā, equal to 3.1 percent of GDP. The deficit will be financed through soft-term financing, general budget support and movement in cash balances.
A major part of the Budget is the Government’s response to the fuel supply crisis. A total of $100 million tālā has been allocated to support the Electric Power Corporation and, to a lesser extent, the Samoa Water Authority. The allocation includes standby liquidity support if global fuel conditions worsen.
The Government will also keep current electricity and water tariffs for domestic households. Community Service Obligation allocations of $5 million tālā each will continue for EPC and SWA to support rural electrification works and fuel costs for boreholes.
District development remains one of the largest spending areas, with $102 million tālā allocated for the 2026/2027 financial year. The Government said this is in line with its commitment of $10 million tālā per electoral constituency over five years.
Social protection has also been expanded. Pensioners aged 70 years and above will receive an increase from $300 tālā to $500 tālā per month from 1 July 2026. The Government says 7,285 pensioners are expected to benefit.
A new Child Wellbeing Benefit will also be introduced, with $20 million tālā allocated to provide $100 tālā per month for children aged 0 to 35 months, along with a one-off baby bonus of $200 tālā. The programme will take effect from 1 July 2026, with first payments scheduled for January 2027.
Health receives $183.4 million tālā, including an increase in funding for medical consumables from $14 million tālā to $21.5 million tālā. The Overseas Medical Treatment Scheme will continue with an allocation of $12 million tālā.
Education and culture receive $135.4 million tālā. This includes $18 million tālā for the One Government School Grant, support for 320 schools, $13 million tālā for the Government Scholarship Scheme, and funding for inclusive education at Aoga Fia Malamalama and Loto Taumafai.
The Ministry of Finance receives the largest allocation at $276.3 million tālā, followed by Health at $183.4 million tālā, Education and Culture at $135.4 million tālā, Family and Social Affairs at $122.9 million tālā, and Police, Prisons and Corrections at $65.4 million tālā.
The Government has also increased support for business lending. The Entrepreneurship Facility through the Samoa Business Hub will rise from $3 million tālā to $5 million tālā. The Development Bank of Samoa’s concessional lending facility for small and medium enterprises will rise from $10 million tālā to $15 million tālā. The Exporter Development Facility will also increase from $3 million tālā to $5 million tālā.
No changes have been made to VAGST or income tax rates. However, taxation revenue is projected to increase by 17 percent, supported by stronger compliance and enforcement and a proposed 3 percent increase in tobacco excise duties from 1 January 2027.
The Budget also provides $4 million tālā for the first phase of a courthouse and judges’ residence in Savai‘i, $6 million tālā for the Sports Development Fund, $2.5 million tālā for the 65th Independence Celebrations in June 2027, and $200,000 tālā for the Teuila Festival in September 2026.
The Government says Samoa’s economy grew by 4.2 percent in FY2024/2025, with GDP reaching $3.6 billion tālā. Inflation was recorded at 1.2 percent as of March 2026, while public debt had declined to $699.5 million tālā, equal to 19.5 percent of GDP.
For FY2026/2027, economic growth is projected at 3 percent. The Government says the Budget is aimed at maintaining stability while continuing support for families, communities, businesses and national infrastructure.
Government of Samoa 2026/2027 Budget Address, delivered by Minister of Finance Mulipola Anarosa Ale Molio’o in Parliament on 26 May 2026.
Read the full 2026/2027 Budget Address
The full Budget Address delivered by Minister of Finance Mulipola Anarosa Ale Molio’o is available below.
