The Samoan Government has reaffirmed its commitment to re-establishing a national airline despite warnings from the Asian Development Bank and International Finance Corporation that the venture could place significant pressure on public finances.
The issue dominated parliamentary debate during June after documents obtained by the Samoa Observer indicated the ADB had advised against competing directly with established regional carriers, particularly Air New Zealand. The Bank reportedly suggested Samoa would achieve stronger economic returns by investing in export industries such as agriculture rather than operating a jet airline.
Prime Minister Laauli Leuatea Polataivao Schmidt rejected those recommendations, arguing that improved air connectivity is essential for Samoa’s tourism industry, trade and long-term economic development.
The government maintains that owning an aircraft would provide greater control over international air services and strengthen national resilience following years of dependence on foreign airlines.
Opposition MPs questioned the commercial viability of the proposal, citing the high capital costs of aircraft acquisition, uncertain passenger demand and the risks associated with operating in a highly competitive regional aviation market.
The debate follows Samoa’s earlier experience with Polynesian Airlines, which ceased international jet operations years ago after sustained financial difficulties.
Tourism remains one of Samoa’s largest export industries, making reliable international air services a key component of economic growth. However, aviation economists continue to caution that many small island states struggle to operate commercially sustainable national airlines without ongoing government support.
The debate is expected to continue as the government develops detailed plans for the proposed carrier.
