INFRASTRUCTURE VITAL

Infrastructure vital O'eill.. Getty Photo

Prime Minister Peter O' Neil has given his full backing of the 2014 Budget, saying it continued the foundations laid in 2013.

He said, the record spending in infrastructure development, health, education and business development or Small to Medium Enterprises, was justified for the continued growth of the country's gross domestic product (GDP).

Mr. O' Neil said, no economy can grow without investing in infrastructure development, which is the fact all around world.

The Prime Minister said this when debating the budget in Parliament this afternoon (Tuesday).

Mr. O' Neil said, there's massive investment in infrastructure, as the government sees it as vital for growth. 

He said they are continuing to rehabilitate the major roads, including the highlands highway, at the cost of 150-million-Kina, another 100-million-Kina in the Lae roads and 10-million-Kina for Buluminski, to complete upgrade to Namatanai.

With ADB funding, they will upgrade and seal the Malalaua to Kerema Highway, and continue to Kikori, liking it with Southern Highlands Highway, connecting it to the rest of highlands, Lae and Madang. 

The Ramu/Madang Highway will also be funded by the Australian government. 

50-million-Kina has been allocated for the development of the Sepik plains.