PNG and China Exim Bank look to new projects on Water Treatment and Broadband Internet

The Prime Minister, Peter O’Neill said he is confident that the China Exim Bank will continue to expand its investment in Papua New Guinea including the upgrade of the Highlands Highway and national broadband Internet system.

During a meeting with Mr Li Ruogu, the Chairman and President of China Exim Bank, and other leading executives, the Prime Minister highlighted the scope of current Chinese investment, as well as opportunities for further cooperation.

“China Exim Bank already has a very effective working relationship with Papua New Guinea, and we are looking to expand this engagement,” Prime Minister Hon. Peter O’Neill said following the meeting.

“Currently 80 per cent of China Exim Bank’s total loan and project financing commitment in the Pacific region is dedicated to Papua New Guinea. This is both a reflection of our strong bilateral relationship with China, and the ongoing potential of our economy.

“Current funding includes the construction of roads from the Southern Highlands to Kikori in the Gulf province, and significant investment in the Ramu Nickel project in Madang. “With the deepening of relations with China, we would like to see even greater cooperation with China Exim Bank on projects of mutual interest.

“In our discussion we moved closer to agreement on the funding of a water treatment project and the National Broadband System. These projects will provide significant benefit to our people through the provision of additional clean drinking water, and in meeting the growing demand for Internet access used for communications by the public as well as the delivery of education and healthcare services.”

The Prime Minister thanked Mr Li and his executive team for the confidence that they have shown by funding major projects in Papua New Guinea, and highlighted the opportunity for further investment.

“Chinese businesses see the growth potential of our economy, and are particularly interested in investing more in mining, forestry, agriculture, fisheries and ports. “There is also a great deal of interest in investment in the tourism sector with the rising number of Chinese people traveling overseas for vacations. One of the concerns in this area continues to be safety for travellers, and I assured Mr Li that increased budget allocation and training for law and order initiatives is seeing substantial improvements in community safety.

Mr Li assured the Prime Minister that he will continue to encourage more Chinese companies to invest in Papua New Guinea.