In Short : The Asian Development Bank (ADB) and Papua New Guinea (PNG) signed a $100 million loan to enhance governance across the public sector. The funding aims to strengthen public financial management, improve service delivery, and promote transparency. This initiative supports PNG’s efforts to achieve sustainable economic growth through effective governance and institutional reforms.
In Detail : PORT MORESBY, PAPUA NEW GUINEA — The Asian Development Bank (ADB) and the Government of Papua New Guinea (PNG) have signed a $100 million policy-based loan to improve governance and accountability across the public sector.
The Strengthening Public Sector Management Program is supporting the government’s efforts to enhance fiscal management, improve state-owned enterprise (SOE) governance, and strengthen accountability institutions in the country.
PNG Minister for Treasurer Ian Ling-Stuckey and ADB Country Director for Papua New Guinea Said Zaidansyah signed the agreement in Port Moresby.
“The program will support the government in strengthening legal, regulatory, and institutional frameworks for improved governance and accountability in the country while also building in climate change considerations into public sector management,” Mr. Zaidansyah.
The program comprises a series of two policy-based loans of $100 million for subprogram 1 in 2024 and $150 million for subprogram 2 to be disbursed in 2026.
It covers three main pillars. The first supports improved revenue collection and public debt management, while the second supports continued improvement in SOEs’ financial reporting and audit, procurement frameworks, and corporate planning and annual reporting. Reforms in the third area will strengthen critical accountability frameworks and institutions.
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 69 members—49 from the region.
