Prime Minister (PM) Charlot Salwai wants to see transparency and accountability in the spending of the Vt10 million grant that the Government has been giving to the Vanuatu Christian Council (VCC) since 2017.
PM Salwai said he is aware of allegations of misuse of funds.
He told the Secretary General (SG) of VCC, Shem Tema, during the handover of the third Vt10 million cheque yesterday (Wednesday) that he is still waiting for the report of the previous grant.
SG Tema said the report has already been submitted to the PM's Office however, the PM is yet to receive it.
The PM said the government recognizes and commends VCC and all the churches around the country for their role in fostering unity, shaping good communities and producing good citizens.
He also praised the religious institutions for the significant role they played in managing public schools since independence.
Mr Salwai said the government wants VCC to consider extending assistance to the health sector, apart from education.
He commended the churches for their prayers that helped to maintain government stability, allowing the current government to complete its four-year term successfully.
"The stability of the government creates a better environment for development.
"However, there is still room for improvement. From my observations, a lot of churches are still empty on Sundays.
"I want to encourage VCC, all churches and their members to unite. The engagement of the youth in church activities is important," he added.
VCC SG Tema said the annual Vt10million grant from the government has boost the growth of VCC and its activities.
VCC has been encouraging its members to explore ways in which they can help improve the health of their members and communities.
He assured that the funds will be used properly.