EU gives K265m for projects

 TWO finance agreements worth K265 million under the 10th European Development Fund were signed between the European Union and the Government in Port Moresby, yesterday. 

National Planning and Monitoring Minister Charles Abel and EU commissioner for development Andris Piebalgs signed the documents.

The agreements included the Human Resource Development Programme (HRDP) Phase 2 worth K87m, which was added to the K39m from Phase 1, and the Rural Economic Development Programme (REDP) Phase 2 worth K108m.

The second phase of the HRDP will focus on technical and vocational education in lower secondary vocational institutions to help the country’s labour markets absorb a young population and provide them with skilled workforce adapted to the country’s needs. 

The funding will focus on delivering three main components of the HRDP which include access, quality and management.

The second phase of the REDP will accelerate income generation and improve rural infrastructure in the Highlands region for which the EU will partner the Asian Development Bank on infrastructure-related activities such as road rehabilitation and maintenance.

It will work with the United Nations Development Programme and the United Nations Capital Development Fund to tackle access to financial services for agricultural value chain financing of which K20m will go into supporting micro-finance institutions.