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Australian Aid to PNG - AusAID

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policing are being introduced, along with procedures <strong>to</strong> reward goodperformance and discipline. The project is also initiating procedures <strong>to</strong> recordand investigate complaints about police behaviour. More broadly, Australia’sassistance strategy in the law and justice sec<strong>to</strong>r is being refined <strong>to</strong> foster asec<strong>to</strong>r-wide approach in support of Papua New Guinea’s new National Policyon Law and Order. 19 A focus on building links between key law and justiceagencies within government, as well as encouraging greater formal andinformal community involvement, is likely <strong>to</strong> improve the impact of <strong>Australian</strong>assistance and the prospects for sustainability of this assistance.5.2.2 ECONOMIC MANAGEMENT AND PUBLIC ADMINISTRATIONAlthough Australia contributed A$15 million <strong>to</strong> Papua New Guinea’s StructuralAdjustment Program in 1989–90, its support for this sub-sec<strong>to</strong>r of governancehas only really intensified since 1999–00. Since independence, a <strong>to</strong>tal of A$160million has been provided, two-thirds of which (A$107 million) has been in thelast three years.BOX 5.4 IMPROVING GOVERNANCE WITHIN THE PUBLIC SECTORThrough institutional strengthening and capacity building activities, as well assupport for multi-donor initiatives <strong>to</strong> assist Papua New Guinea’s public sec<strong>to</strong>r reformefforts, <strong>Australian</strong> assistance for economic management and public administrationhas had a number of positive impacts on improving governance in Papua New Guinea:• Introduced constitutional changes <strong>to</strong> strengthen the independence of the publicservice, in particular in the appointment and dismissal of permanent heads.• Introduced a new performance management system <strong>to</strong> improve public serviceperformance.• Improved the functioning of Cabinet processes.• Introduced improvements in the budget preparation process.• Introduced a process of major functional and expenditure reviews, <strong>to</strong> rationaliseand streamline the work of key central agencies and major spending agencies.• Provided extensive training in different aspects of financial management forpublic sec<strong>to</strong>r personnel across the country, <strong>to</strong> improve the accountability anddisbursement of public funds.• Improved competency levels and performance standards within the OmbudsmanCommission, which are expected <strong>to</strong> result in more open, transparent, accountable,equitable and responsive performance by government leaders and agencies. In2001, the Ombudsman Commission made ten referrals <strong>to</strong> the Leadership Tribunal,a 100 percent increase over the previous year.• Improved productivity within the Ombudsman Commission by 30–50%.19 See <strong>AusAID</strong> Concept paper for the Law and Justice Sec<strong>to</strong>r Program. November 2002.The Contribution of <strong>Australian</strong> <strong>Aid</strong> <strong>to</strong> Papua New Guinea’s Development 1975–2000 39

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