The Samoan Government says it has enough cash to meet its financial obligations, including public servants’ salaries, project payments and debt repayments, with reserves remaining above $500 million since the 2023/24 financial year.
The Ministry of Finance gave the assurance in its latest Financial Update, tabled in Parliament by the Prime Minister, saying the Government’s cash position remained strong enough to process payments for goods and services, the public service payroll, development projects and debt servicing.
The assurance comes as Government revenue declined to $1.06 billion in the 2025/26 financial year, down from $1.11 billion in 2024/25 and $1.16 billion in 2023/24.
Despite the fall, it was the third consecutive financial year in which revenue collections exceeded $1 billion. Taxes accounted for 78.7 per cent of total revenue collected by 30 June 2026.
Government expenditure also fell, from $955.7 million in 2024/25 to $906.8 million in 2025/26.
The Government recorded a budget surplus of $149.6 million for the year, although the surplus was lower than in the previous financial year.
Public debt stood at $690.8 million at the end of June 2026, comprising $641 million in external debt and $49.8 million in domestic debt. The Ministry reported this was equivalent to 19.3 per cent of GDP, below the 50 per cent debt-to-GDP threshold.
The update also showed a decline in economic output, with real GDP falling by 1.6 per cent to $2.551 billion from $2.593 billion in 2024/25.
The Ministry attributed the decline to subdued economic activity during the September and March quarters, particularly in the commerce industry, alongside the effects of the fuel crisis on transport, construction and manufacturing.
Despite these pressures, the Ministry maintained that the Government had sufficient cash available to continue meeting its financial commitments.