The Asian Development Bank has granted Nauru $US5 million to improve its management of expenditure and infrastructure.
The grant will also be used for the governance of state-owned enterprises.
It's being co-financed with New Zealand, which has provided $US323,000 in budget support.
The bank said Nauru was implementing a comprehensive reform programme to help it sustain a responsible fiscal position and strengthen public services.
It said the programme would also create synergies with the bank's infrastructure investments in Nauru, including the new seaport and solar facility, which state owned enterprises will own and manage.
Last month, the Nauru government gave Nauru Airlines about $US1.7 million as it prepared to make about 50 of its Brisbane based staff redundant.