Republic of Naoero
Citizens Budget Guide 2026-27
Capitalising on stability: investing in the people and a productive future.
The budget at a glance
The 2026-27 Budget balances estimated revenue and spending while maintaining a small surplus.
Estimated revenue
$359.2m
Appropriated spending
$359.0m
Budget surplus
$0.2m
Projected GDP growth
2.0%
Where does the money come from?
FY2026-27 approved revenue is A$359.2 million. The largest source is bilateral hosting revenue.
Revenue concentration
Revenue is strong overall, but 58% comes from bilateral hosting. Diversifying the revenue base remains important for long-term resilience.
What are the main priorities?
Selected measures highlighted in Budget Paper No. 1 focus on essential services, housing, household support and infrastructure.
Health
$26.0m
Clinical services partnership.
Education
$20.5m
Human capital and youth re-engagement.
TCRA housing
$4.3m
Transferee accommodation.
Regulatory health
$4.2m
New regulatory health department.
Fuel support
$3.5m
Protection for consumers from volatility.
Energy
$2.2m
NUC generator replacement loan.
Economy at a glance
Steady growth
Real GDP growth is projected at 2.0% in 2026-27.
Easing inflation
Inflation is expected to fall to 4.2%, from 5.5% in 2025-26.
Low external debt
External public debt remains low at approximately 0.5% of GDP.