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Development assistance in Papua New Guinea

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Joint Understanding on further bilateral cooperation on health, education and law and order


The Joint Understanding on further bilateral cooperation on health, education and law and order (Joint Understanding) was signed in Brisbane on 19 July 2013 by the then Prime Minister of Australia The Hon Kevin Rudd MP and the then Prime Minister of Papua New Guinea The Hon Peter O'Neill CMG MP. The Joint Understanding builds on the mutually agreed priorities in the Papua New Guinea-Australia Aid Partnership and outlines practical measures Australia and Papua New Guinea are pursuing together to strengthen cooperation in the areas of health, education, transport and law and order in Papua New Guinea.

Under the Joint Understanding, Australia committed $420 million of assistance to:

  • fund 50 per cent of the redevelopment of Lae ANGAU Hospital and contribute to the costs of senior management personnel
  • deploy an additional 50 Australian Police in Port Moresby and Lae
  • rehabilitate essential infrastructure at University of PNG and support twinning and exchange programs with Australian institutions
  • scope and design of the Lower Courts complex in Port Moresby
  • scope and design study of the Madang–Ramu Highway, and
  • recruit senior positions in the Royal PNG Constabulary and the National Departments of Health and Education.

The only uncompleted component of the Joint Understanding is the ANGAU Hospital redevelopment in Lae. COVID-19 unavoidably slowed this important project, with major construction now expected to be completed in 2023.

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