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World Bank earmarks US$1b for PNG
By TERENI KENS
THE World Bank is expected to release over US$1 billion (K2.62 billion) this year to the Papua New Guinea government to fund various economic impact projects in the country. The bank's senior financial management specialist based in Sydney, Chris Fabling told Sunday Chronicle during an interview that approximately US$1.28 billion (K3.36 billion) is available for use in three impact projects. The three projects include road maintenance, Smallholder Agriculture Development and Mining Sector Institutional Strengthening Technical Assistance Project. The road maintenance project which comes under the Department of Works will receive US$40 million (K104.85 million); smallholder agriculture development project under the Agriculture Department will get US$70 million (K183.49 million) which aims to enhance agricultural incomes in a number of communities in West New Britain and Oro provinces and US$18 million (K47.18 million) for institutional development. According to Mr Fabling the institutional development component of the funding is aimed at strengthening the institutional capacity within the Mineral Resource Authority (MRA) and the Internal Revenue Commission (IRC) to administer and regulate exploration and mining projects and to contribute to socially and environmentally sustainable development in the mining sector in PNG. The support to the Department of Mining will help facilitate the revitalization of the private industry-led mining sector and ensure that mining contributes to sustainable development, in particular for rural communities in PNG. The support to the Internal Revenue Commission will result in increased tax revenues from mineral projects which should help assist economic recovery and poverty alleviation in the country as a whole. In a bid to account for these funds a two-day refresher course or conference on financial management and procurement procedures was conducted last week by the World Bank which involved various key stakeholders from the government. The stakeholders include the Department of National Planning and Monitoring, Treasury and Finance, Agriculture, IRC and MRA and the Department of Petroleum and Energy which Mr Fabling said were vital due to World Bank becoming more active in PNG's development. |
BUSINESS
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