The Government-owned Vaiaku Lagi Hotel facing the Funafuti lagoon is Tuvalu's only Hotel. The hotel has been recently upgraded and refurbished. The hotel has a fully licensed bar, comfortable lounge and a dance floor.

All 16 rooms in the new complex faces the lagoon. and presents a perfect sunset views. Every room is airconditioned and has private hot/cold water shower, toilet and refrigirator., IDD telephone, plus tea and coffee making facilities. Each room sleeps 1, 2 or 3 persons.

The old wing provides budget rooms at reduced rates with private shower and toilet plus tea and coffee making facilities.

The hotel offers a bar, beach, entertainment, restaurant, fax, air-conditioning,  Conference, Laundry, Telephone, Cultural Activities, Fishing, Snorkeling, and Pool.

Excellent meals are provided at reasonable costs with European an local dishes. The fish and lobster is caught daily straight from the lagoon and is a speciality for overseas guests.

Situated in the centre of the town about 50 metres from the airport and set on the Lagoon side of the island. Bicycles and motorbike hire can be arranged. Dances also held on Friday and Saturday nights. Other activities and excursions to islands in the lagoon can be arranged upon request.