OREANDA-NEWS. The importance of support being provided by the European Investment Bank to replace 27 obsolete bridges in rural districts of Papua New Guinea was highlighted in advance the summit of leaders from Africa, Caribbean and Pacific nations being held in Port Moresby.

The European Investment Bank, the world’s largest international public bank owned directly by the 28 European Union member states, is providing USD 58.4 million for the bridge replacement programme in cooperation with Government of Papua New Guinea and the Asian Development Bank. Implementation of the project will also be supported by a USD 2.5 million technical assistance grant provided by the EIB.

The new long-term loan from the European Investment Bank was formally signed in Port Moresby by Minister Patrick Pruaitch and Patrick Walsh, Deputy-Director General of the European Investment Bank responsible for lending outside Europe. This is the first project supported by the European Investment Bank in Papua New Guinea since 1995.

“Today’s signing marks a significant milestone for Papua New Guinea and one of its most important multilateral development partners that has been supportive to Papua New Guinea for nearly forty years, the European Investment Bank (EIB), in making progress towards achieving this goal.”  said Hon. Patrick Pruaitch, CMG, MP, Papua New Guinea Minister for Treasury.

“This investment in 27 bridges is the EIB’s first operation in PNG since 1995. The road and bridges transport infrastructure sectors are important sectors as PNG has very difficult geographic conditions for the provision of transport because of its rugged terrain and extreme climate that makes the supply of infrastructure and its sustainable operation very costly. On behalf of the people and the Government of Papua New Guinea, I sincerely thank the European Investment Bank again for its continued support in complementing the ongoing development efforts of our country.” added Prime Minister O’Neill.

“The European Investment Bank has supported long-term investment in Papua New Guinea for nearly 40 years. We are pleased to return to the country and support this crucially important initiative that will strengthen economic activity in remote Madang and East Sepik provinces. Upgrading obsolete bridges is crucial to ensure that road connections can adapt to increased risk of flooding and changing weather patterns. We look forward to continuing to strengthen our engagement in Papua New Guinea and building on close cooperation with the government and other partners in the country. Long-term investment that improves lives is a key focus of our engagement in Africa, Caribbean and Pacific states and this project is an excellent initiative to highlight to ACP leaders in Port Moresby.” said Patrick Walsh, European Investment Bank Deputy Director-General.

The European Investment Bank delegation, led by Patrick Walsh, will visit Madang province in the coming days to meet Madang Governor Hon. Jim Kas and see at first-hand how upgrading road access will benefit an expected 400,000 Papua New Guineans.

The EIB delegation attending the ACP summit will meet ministers from Papua New Guinea and across the region.

The EIB will also host a workshop to outline opportunities for financing and technical assistance for climate related investment.

The European Investment Bank is the world’s largest lender for climate related investment. Climate projects supported in the Pacific include a typhoon resilient windfarm in Vanuatu, investment to cut energy use in hospitals in French Polynesia and improving water distribution and treatment in Fiji.