Healthy surplus
p. 42 · Read in the full issue
through Trust Fund
TUVALU’S Trust Fund is forecast to stand at A 537.4 million (U 5529.3 million) by the end of the country’s fiscal year on September 30. The fund was established by donations from Britain, New Zealand and Australia to under write Tuvalu’s recurring budget deficit.
The investments made from it are managed by Westpac Bank.
The Trust Fund Advisory Commit tee’s spokesman, New Zealand represen tative Brian Bell, said the Fund will provide a healthy surplus for distribution this year to the Tuvalu Government.
Under the existing formula ASI.S million will be released. The advisory committee said it had recommended that the government fund the balance of the budget shortfall this year by overdraft from the National Bank of Tuvalu, and try to reduce this overdraft to A 5500,000.
It said the government should be aiming at a budget surplus by 1995 by increasing spending only in line with inflation. □