The government will spend almost $40 million helping revitalise the Chatham Island's economy, which has been hard hit by the pandemic.
Government funding aims to boost tourism in the Chatham Islands. Photo: Kristie-Lee Thomas
The majority of the funding will be spent on Tuuta Airport, with $36m invested in the runway, allowing larger planes to land.
A further $2.15m has been allocated for projects to boost the regional economy through aquaculture, tourism and infrastructure.
About $1.7m will go towards developing shellfish aquaculture farms and $500,000 will fund a new tourism manager.
The grant will also support a new museum and efforts to bring mobile phone coverage to the island.
Infrastructure Minister Shane Jones said the Covid-19 pandemic has had a devastating impact on the islands, halting crayfish and blue cod exports and preventing livestock and wool sales.
The islands had lost about $20m in revenue and unemployment had increased to about 30 per cent, because of the pandemic.
It was hoped the funding boost would attract more tourists to the Chatham Islands.