The Niue Government, which has historically aimed to balance its budget, is contemplating a huge deficit this year.
The government has forecast a deficit of $NZ7,234,000 for the coming year, on revenue, including foreign aid support, of just under $NZ50 million.
This deficit comes on the back of a significant shortfall in the current year and five years of the government having failed to file audits on time.
In December last year the New Zealand Auditor General, John Ryan, admonished the Niue government for misappropriation and poor record keeping after his office audited the 2015 accounts, the most recent they had been able to attain.
The new premier, Dalton Tagelagi, has said he is aiming for more transparency and accountability than previous administrations.
The draft budget is now with the current accounts committee for scrutiny.