Tonga is currently preparing skills and employment project, which will be financed by the World Bank under the IDA 18 cycle. The total funding envelope is approximately US$20.90 million. The project will be jointly implemented by the Ministry of Internal Affairs, the Ministry of Education and Training, and the Ministry of Finance and National Planning. The project objective is to improve opportunities for secondary school progression and facilitate the transition to jobs in the domestic and overseas labor markets for Tongans. 

The project has four interlinked components: (1) Conditional cash transfer program for secondary school enrolment and attendance; (2) Strengthening technical and vocational education and training (TVET) provision; (3) Enhancing opportunities for labor migration; and (4) Project management, monitoring and evaluation, and centralized support. The project will support the poorest decile (some 1,500 households) with cash transfers conditional on them ensuring their secondary school-age children enroll and regularly attend classes. It will provide Quality Improvement Grants to 8 TVET providers, and funds to cover tuition fees and living costs for some 600 TVET students from the poorest decile. Meanwhile, it will provide pre-departure training for some 8,000 Tongans and build a work-ready pool of 1,600 migrant workers. 

Component 1: Conditional cash transfer program for secondary school enrolment and attendance (US$6.5 million) 

Sub-Component 1.1 Technical assistance required to establish CCT

Sub-Component 1.2 Cash transfers and bonus payments.

Component 2:  Strengthening TVET provision (US$3.7 million) 

Sub-Component 2.1 Improving the quality of TVET 

Sub-Component 2.2 

a) TVET Student Support Funds

 b) English language training support 

Sub-Component 2.3 Strengthening governance of the TVET sector

Component 3: Enhancing opportunities for labour migration (US$1.8 million) 

Sub-Component 3.1 Pre‐departure training for migrant workers

 Sub-Component 3.2 Institutional strengthening for the Overseas Employment Division

Component 4: Project management, monitoring and evaluation, and centralized support (US$8.9million) 

Sub-Component 4.1 Establishment and functioning of the Central Support Unit (CSU) USD 7.0 Million Sub-Component 4.2 SET Project Management Unit (PMU) USD 1.9 Million 

The project will be managed by a Project Management Unit (PMU) located in Tungi Colonade. This PMU will be responsible for the day-to-day implementation, monitoring, and coordination of Components 1, 2, 3 and part of Component 4 of the project. The PMU will report to the World Bank on a semiannual basis on the progress of the project implementation for such components.