With limited domestic sources of finance for infrastructure development, international development agencies play a significant role in funding projects in Papua New Guinea.
Following the endorsement of a PPP policy in 2008, Papua New Guinea introduced its first PPP law in 2014, which calls for institutions and processes to be established broadly in line with internationally accepted practice.
As it stands today, however, the PPP law does not represent a fully-developed regulatory framework and requires more detail on risk allocation, private-sector compensation, regulatory protection for open-ended liabilities and bidding and contract award procedures. In the meantime, the government of Papua New Guinea will address these issues on a contract-by-contract basis with the continued assistance of external agencies like the Asian Development Bank, the Australian Department of Foreign Affairs and Trade and the World Bank.
The Department of National Planning and Monitoring is the Central Agency in charge of matters relating to strategic development, development policy, development planning and programming, foreign aid coordination and management, and monitoring and evaluation of national development projects and programs.
The Asian Development Bank is helping the government of Papua New Guinea implement a PPP center to coordinate all issues related to the PPP program.
The pipeline of PPP projects in Papua New Guinea includes the Jacksons and Nadzab airports and the new Lae Port.
The Global Competitiveness Index (GCI) is published in the Global Competitiveness Report and assesses the competitiveness landscape of 140 economies. The GCI Infrastructure Score is a component of the overall index and covers transport, electricity and telephony infrastructure.
This is the fourth comparative study of SOE performance in the Pacific undertaken by the Asian Development Bank (ADB), and the first to include island countries from the Atlantic Ocean (Republic of Cabo Verde, or “Cabo Verde”), the Caribbean (Jamaica), and the Indian Ocean (Mauritius). This expansion of the study was specifically requested by the Pacific island countries to provide a more global benchmark for their SOE sectors. The study assesses SOEs’ impact on the participating countries’ economies, and identifies key performance drivers and reform strategies to guide future policy action. A key theme is finding the balance between the roles of the public and private sectors.