Australian Aid to PNG - AusAID
Australian Aid to PNG - AusAID
Australian Aid to PNG - AusAID
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ANNEX A EVOLUTION OF AUSTRALIAN AID OBJECTIVES IN PAPUA NEW GUINEAThe Contribution of <strong>Australian</strong> <strong>Aid</strong> <strong>to</strong> Papua New Guinea’s Development 1975–2000 61Year Catalysts Objectives Priorities1975 • Independence• Somare Governmentemphasis on equityand stability, ratherthan growth1980 • High expectationsfor minerals sec<strong>to</strong>r• Crawford Review1982 • Impact of worldrecession affects <strong>PNG</strong>economy, particularlymining sec<strong>to</strong>r – fallin gold price,declining BougainvilleCopper profits1986 • Introduction ofproject aid• Wingti Governmentemphasis oneconomic growth,away from socialservices• To assist <strong>PNG</strong> achieve a smooth transition <strong>to</strong> independenceand enable it <strong>to</strong> continue its development strategies in thepost-independence period.• To enable <strong>PNG</strong> <strong>to</strong> pursue its economic development policieswith assured funding while, at the same time, meeting itsstated objective of self-reliance.• To provide <strong>PNG</strong> with a practicable framework in which <strong>to</strong> planits development.• To accelerate progress <strong>to</strong>wards self-reliance.• In addition <strong>to</strong> budget support, <strong>to</strong> introduce a country programutilising a range of instruments (projects, training,scholarships, and technical assistance).• To enable <strong>PNG</strong> <strong>to</strong> set its own development priorities• To bridge the resource gap between <strong>PNG</strong>’s high investmentrequirements and low savings• To ensure <strong>PNG</strong> is able <strong>to</strong> maintain a stable, viable and unitedcountry after its rapid transition <strong>to</strong> independence• To reduce budget support gradually and predictably• To ease the rate of decline of budget support• Revenue generation• Institution strengthening for key economic departments• Technical assistance for state enterprises• Management development in the Departments of Health,Works, Police and Justice.