Australian Aid to PNG - AusAID

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62 The Contribution of Australian Aid to Papua New Guinea’s Development 1975–2000Year Catalysts Objectives Priorities1989 • First Treaty• Namaliu Governmentincreased priority ofsocial sectors1995 • Economic recoveryprogram following1994 financial crisis• Devolution toprovincialgovernments1998 • Recovery from majordrought in 1997• Restoration of peaceon Bougainville• To promote self sustaining economic growth with equity andcontribute to PNG’s stability and social cohesion.• To reduce progressively the overall level of Australian aid,shifting from budget support to project aid.• To maintain support within Australia for aid to PNG.• To consolidate the geographic spread of Australian aid andachieve an appropriate balance in sectoral emphasis betweenprojects supporting economic growth and those supportingsocial development.• To assist PNG meet its objectives of greater self-reliance,economic stability, social and gender equity and povertyalleviation.• To strengthen PNG’s abilities to develop sectoral policies,improve basic service delivery especially in rural areas, fosterinvestment and create employment.• To promote sustainable development, self-reliance, stabilityand social cohesion.• To assist with implementation of PNG’s economic reforms.• To strengthen PNG’s ability to improve basic service deliveryespecially in rural areas, implement development programs,foster investment and create employment.• To enhance PNG’s capacity to plan for devolution of servicedelivery responsibilities to provinces.2000 • Second Treaty • To relieve poverty and achieve sustainable development.• Budget support • To introduce contestability among PNG organisations seekingphase-out completed aid funds.• Human resource development and institution strengthening,especially at provincial level• Rural development• Civil aviation• Forest & environmental management• Continued support for law and order projects• Revenue generation (taxation/customs)• Health• Education & training• Transport & communication• Renewable resources• Law & justice• Private sector developmentSame sectors, but emphasis on:• Maximising involvement of PNG agencies in delivery, includingproject funding through PNG agencies• Greater NGO involvement• Increased commodity supply• Strengthen governance• Improve social indicators• Build prospects for sustainable economic growth• Consolidate the peace process in Bougainville
ANNEX B SECTOR BREAKDOWN OF AUSTRALIANAID TO PAPUA NEW GUINEA, 1975–2002Sector Sub-Sector A$ (Nominal) % of % ofSector ProgrammableTotal AidCIVIL SOCIETYCommunity Development 37,436,329 33.8Post-Conflict Peace Building 58,925,748 53.2Private Sector Development 14,330,392 12.9Sector Total 110,692,469 100.0 5.4GOVERNANCEEconomic & Public Administration 159,064,406 37.1Law & Justice 240,202,725 56.1Post-Conflict Peace Building 29,239,560 6.8Sector Total 428,506,690 100.0 20.8EDUCATIONElementary, Primary, Secondary 284,454,879 53.0Management & Administration 24,289,870 4.5Non-Formal, Managerial & Teacher Training 39,347,198 7.3Technical & Vocational Education 43,469,664 8.1Tertiary 145,605,949 27.1Sector Total 537,167,560 100.0 26.1HEALTHBasic Health Infrastructure 11,017,121 4.3Health Education 20,127,238 7.9Infectious Diseases 35,797,894 14.1Management & Administration 51,439,498 20.2Maternal & Child Health 48,816,961 19.2Medical Services 19,259,987 7.6Sector-wide Programs 68,006,680 26.7Sector Total 254,465,379 100.0 12.3INFRASTRUCTURECommunications 27,357,028 5.5Housing, Construction, Urban Planning 798,920 0.2Management & Administration 15,035,432 3.0Cross-Sector 56,308 0.0Post-Conflict Peace Building 15,195,144 3.0Power & Energy 4,101,567 0.8Air Transport 99,471,954 19.9Land Transport 311,811,400 62.4The Contribution of Australian Aid to Papua New Guinea’s Development 1975–2000 63
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BOXESBox 3.1 The Dutch Disease in P
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FOREWORDAs part of a broader focus
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programs to improve living standard
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sector since independence, 65% has
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1 INTRODUCTIONThis report provides
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Figure 2.1 Real GDP per capita in P
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1985 1990 1995 2000PNG HPC LIC LMC
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significant strain on the budget an
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• Improved central coordination a
Page 25 and 26: Connell (1998, pp. 311-2) highlight
Page 27 and 28: y the successful mobilisation of cu
Page 29 and 30: 3 INTERPRETING THE DEVELOPMENT ANDG
Page 31 and 32: The estimated increase in private c
Page 33 and 34: 3.4 Reconciling the Growth and Deve
Page 35 and 36: 3.5 Implications for AidTo summaris
Page 37 and 38: Although the precise extent of the
Page 39 and 40: program saw a decline in the overal
Page 41 and 42: criticism that the withdrawal of Au
Page 43 and 44: Ministerial Forum found that real p
Page 45 and 46: management for Papua New Guinea, ov
Page 47 and 48: 5 THE IMPACT OF AUSTRALIAN AID INPA
Page 49 and 50: • Improved retention rates at sch
Page 51 and 52: • Achieved operational efficienci
Page 53 and 54: policing are being introduced, alon
Page 55 and 56: deliver community and public servic
Page 57 and 58: BOX 5.5 HEALTH IMPACTS OF AUSTRALIA
Page 59 and 60: also improved 24 , and there is evi
Page 61 and 62: 5.5 Renewable ResourcesIn total, Au
Page 63 and 64: Land Use Management• Established
Page 65 and 66: New Guinea needs donor financing fo
Page 67 and 68: only assist within the context of t
Page 69 and 70: Both within sectors and more broadl
Page 71 and 72: However, it seems reasonable to arg
Page 73 and 74: useful to document the findings of
Page 75: ANNEX A EVOLUTION OF AUSTRALIAN AID
Page 79 and 80: 8 REFERENCESAhai, N., 1988, The Dev
Page 81 and 82: Garnaut, R., and Baxter, P., 1984,
Page 83 and 84: Growth Strategy, Final Report, prep
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