Support for public sector reform and economic governance is a key component of Australia's Aid Investment Plan for Tonga from 2015-16 to 2017-18. The third iteration of Australia's Economic and Public Sector Governance Program (EPSG III) will support a medium term program of reforms to strengthen revenue, effectively manage government expenditure, reduce debt and promote private sector growth. At an estimated $6-7 million per annum (ANNEX 1), of which $4 million per annum will be performance-linked budget support and the balance technical assistance, equipment and training, EPSG III will represent around a third of Australia's projected bilateral program funding in Tonga. EPSG III will build on the outcomes of EPSG I and EPSG II (2009-2016), through which Australia has actively supported Tonga's reform program to reduce debt, repair its budget, improve revenue collection and promote private sector development. As well as contributing to these higher level policy reforms.