PNG TO EXPAND DRINKING WATER NETWORKS WITH OVER K109.4 MILLION FUNDING FROM EIB GLOBAL
The European Investment Bank Global will provide Papua New Guinea with a K109.4 million for water network improvement in Port Moresby.
The K109,400,000M(€25 million) concessional loan, combined with a K83.48 million (€16.4 million) financial contribution from the European Union, to increase the availability of drinking water nationwide.
The financing agreement was announced today in Port Moresby during the EU–Papua New Guinea Business Forum.
EIB Global, the development arm of the EIB, is providing funding to Papua New Guinea to expand drinking water networks in towns across the country, including the capital, Port Moresby. The project aims to provide a steady supply of potable water to an additional 400,000 people in Papua New Guinea.
This project is part of Global Gateway, the EU’s external investment strategy for sustainable development. It will finance new water connections in underserved urban areas and reduce water losses in Port Moresby. This, in turn, will support national efforts to increase urban water coverage to 95 per cent by 2030.
EIB Vice-President Ambroise Fayolle, who oversees operations in the Pacific region, said the funding will assist communities.
“Our financing will help Papua New Guinea extend clean, reliable water services to more communities, improve living conditions, and support more resilient and sustainable growth across the country,” Fayolle said.
“Investment in water systems is essential to improving public health and strengthening long-term development.”
European Commissioner for International Partnerships Jozef Síkela stated:
“The new loan agreement, supported by the €16.4 million EU financial contribution, to improve access to clean water for an additional 400,000 people in Papua New Guinea shows that the partnership between the European Union and Papua New Guinea is delivering real impact. In line with the EU’s Global Gateway investment strategy, we work together to build modern infrastructure, create jobs, boost health, climate resilience, prosperity, and quality of life for local communities.”
Papua New Guinea Secretary for Treasury Andrew F. Oaeke said the funding reflects the strong partnership between the two parties.
“The European Investment Bank is a valued partner in Papua New Guinea’s development journey,” Oaeke said.
“This framework loan under the EU’s Global Gateway strategy reflects our shared commitment to high-quality, sustainable infrastructure. Through this investment, we are strengthening the resilience of our urban water services against climate change and ensuring that our provincial centres are equipped to support a growing population and a vibrant, rural-based economy.”
