ADB grants SOEs US$150mil loan

THE Asian Development Bank (ADB) has approved a US$150 million (about K542 million) loan to improve State-owned enterprises (SOE) in the country.
ADB principal public management specialist for the Pacific Pamela Wyatt said the ADB had long been engaged in SOE reforms in PNG, and had built strong relationships with them.“The PNG Government has made good progress on reforms and remains committed to improving the performance of its SOE portfolio,” she said.
“Most essential services in PNG, such as energy, water, telecommunications, ports, and air transport, are provided by SOEs.
“The ADB-supported PNG SOE reform programme aims to help SOEs deliver high-quality services at affordable prices.
“The programme is expected to reduce unsustainable borrowing practices, improve accountability and transparency, and encourage private sector participation in service delivery
“The programme comprises three annual subprogrammes, which are designed to progress reforms while meeting the government’s budget support needs. ADB’s programme is aligned with the government’s own SOE reform plans.
“ADB has coordinated closely with key development partners to design the programme, including the governments of Australia and New Zealand, the International Monetary Fund and the World Bank. ADB is committed to achieving a prosperous, inclusive, resilient, and sustainable Asia and the Pacific, while sustaining its efforts to eradicate extreme poverty.
“Established in 1966, it is owned by 68 members – 49 from the region.”