RNZ reports the agreement was signed on Friday by the President of Tonga's National Olympic Committee, Lord Tupou, and CEO of the Ministry of Internal Affairs, responsible for Sports, 'Ana Bing Fonua.
The Interim CEO and Secretary General of TASANOC, Takitoa Taumoepeau, said it's been made clear that the money was to be used for insurance, outfits and incidentals of team members.
Last month Mr Taumoepeau said an initial request for financial support had been rejected by the government.