PNG working to reduce reliance on grants, says Abel

PNG is working towards reducing its reliance on grants by improving domestic revenue collection and is exercising discipline in financing and spending, Deputy Prime Minister and Treasurer Charles Abel says.
Responding to the announcement by the Australian government of its development funding assistance of K1.5 billion, Abel congratulated his counterpart Treasurer Josh Frydenbert on tabling the Australian 2019/20 budget. “Our partnership with Australia is based on a long history of friendship and continues to grow stronger as we work together to advance our mutual development interests.
“The announcement that Australia’s official development assistance budget for Papua New Guinea will increase next year is a welcome confirmation of the strength of our relationship.
“Australia is our largest donor partner, making up approximately 67.7 per cent of total grants and 8.8 per cent of the overall budget in 2018.
“As its global aid budget declines, it is notable that Australia is increasing its funding commitments here in Papua New Guinea, and also more broadly across the Pacific region.”
Abel said the current increases were a welcome addition to the major announcements made at Apec at the end of last year, including the establishment of the A$2 billion (K4bil) regional infrastructure bank, and participation in the international coalition to provide electricity to at least 70 per cent of Papua New Guineans by 2030.”
Abel said Australia also made a substantial investment in the submarine cable that will deliver faster, cheaper and more reliable communication, which will help boost economic and development benefits.