The Government has provided an additional K100 million for school fees subsidy in 2008.
Treasurer Patrick Pruaitch made this announcement when handing down the 2008 Budget on Tuesday.
The Government earlier this year announced a K100 million subsidy for this year and undertook to continue.
Mr Pruaitch said the 2008 Budget provided for K100 million in subsidies and a further K10 million for the expansion of education services.
“The continuation of the subsidy next year will assist parents of school aged children while additional funding will assist to improve the quality of basic education services.”
He said the K110 million additional education funding was on top of the K43 million already provided for in the 2008 Budget for education subsidies.
Meanwhile, health services also was allocated an additional K10 million for recurrent expenditure on improving hospital services in the country.
Mr Pruaitch said this would assist with training of medical staff, supplies for hospitals and aid posts and medical equipment in areas where there was great need.
The funding to the two Government priority areas came from the additional mineral revenue currently forecasted to be K1.676 billion in 2008.
The Government also provided K3 million for the Lutheran University of PNG, which has not started enrolling students yet.