State to use K324.5 million loan from India in new budget

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THE Government is in the process of executing the credit of US$100 million (K324.5 million) offered by the Indian government in 2016, Deputy Prime Minister and Treasurer Charles Abel says.
The credit was offered to Prime Minister Peter O’Neill when he visited India.
Abel, who attended the Indian Night on Saturday in Port Moresby, said the loan offer would be executed in the 2018 budget.
It will fund the:

  • US$20 million (K61.4 million) refurbishment of the National and Supreme Court in Mt Hagen;
  • US$20 million (K61.4 million) road from Madang to Baiyer; and,
  • US$20 million (K61.4 million) upgrading of the road from Kimbe to Hoskins to a four-lane highway.

Abel said the Indian government assisted Papua New Guinea in other projects including US$800,000 (K2.5 million) announced last week by Prime Minister Peter O’Neill in the form of education support and computers.
“They are also talking about establishing an IT excellence centre at the University of Papua New Guinea. So we’ll continue to pursue those,” he said.
“The bigger opportunity is at the trading relationship with India and all those opportunities that India has to support us.”
Abel thanked the India Association of PNG for supporting the PNG government and the people for more than 36 years.
“We appreciate the good work the association does and our relationship with the Indian Government,” he said.