ADB Approves $163 Million in Loans to Help Improve Aviation Safety in PNG
PORT MORESBY — The Asian Development Bank (ADB) and the Government of Papua New Guinea (PNG) today signed two loans to fund improvements to air services in PNG.
Minister for Treasury Ian Ling-Stuckey and ADB Country Director for PNG David Hill participated in the signing ceremony.
“This innovative program will help boost economic and social development in PNG,” said Mr. Hill. “Our investments aim to improve connectivity in the country and, in doing so, drive growth in businesses and jobs.”
Loans amounting to almost $163 million were signed at the ceremony for the newly approved $171.5 million Civil Aviation Development Investment Program Phase 2. The program will upgrade five national airports for better safety and security, improve the power supply at Port Moresby International Airport, and enhance navigation and weather services by installing a standard automatic weather observation system.
“Major sectors of PNG’s economy such as mining, tourism, and agriculture rely on civil aviation for access to production sites and markets,” said Mr. Ling-Stuckey. “This ADB-supported program will play a lead role in enabling economic recovery after COVID-19.”
The program will pilot the upgrading of rural airstrips in four locations: Finschhafen, Hayfield, Jacquinot Bay, and Tapini. Civil aviation institutions in PNG will be strengthened through the provision of training on project management and gender inclusiveness.
The program builds on the successes of the ADB-supported Civil Aviation Development Investment Program, which was approved in 2009 and targeted sweeping improvements to 21 national airports that serve more than three million people in PNG per year. It also strengthened the safety, accessibility, and reliability of air services, and opened new economic opportunities in regional centers.
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.