MEDIA RELEASE
Released By:
Downer
Australia will today advance nearly $30 million in budget support payments under the Australia-Papua New Guinea Development Cooperation Treaty.
The assistance is a tangible demonstration of Australia's support for the economic reform blueprint set out in Prime Minister Sir Mekere Morauta's supplementary budget. This arrangement was agreed in-principle following visits to PNG by the Treasurer, Mr Costello, and myself in July.
The decision to proceed with the advance follows productive missions to PNG last month by International Monetary Fund (IMF) and World Bank. It underlines the strength of our bilateral relations with PNG and our willingness to help out when asked.
The payment will be advanced to the PNG Government from the monthly budget support payments which would usually be made over the remainder of the financial year under the Treaty. This will be the final payment of budget support to PNG. Under the revised Treaty, due to come into force July 2000, all Australian funding will be provided as jointly programmed assistance.
Australia strongly endorses PNG's renewed partnership with the international financial institutions. Mutual agreement on economic reform measures will strengthen investor confidence in PNG's long-term development and underpin a return to sustained economic growth and prosperity.
Media contacts:
Innes Willox (Ministerial) 02 6277 7500 / 0419 206 890
Deborah Nesbitt (AusAID) 02 62064966 / 0417 683 767