Papua New Guinea is set to expand drinking-water networks across towns nationwide and in the capital, Port Moresby, after securing $25 million in financing from EIB Global, the European Investment Bank’s development arm.
The funding will be provided as a loan to the government of Papua New Guinea, with the state-owned utility Water PNG carrying out the work, EIB Global said in a statement.
The European Union will support the loan with a €13.4 million investment grant and €3 million for expert support to help implement the project.
The project is expected to deliver potable water — water that is safe to drink — to an additional 400,000 people.
Only about a fifth of Papua New Guinea’s population has access to reliable water services.
Work planned in Port Moresby and underserved urban areas
The financing will be used to fund new water connections in underserved urban areas and to reduce water losses in Port Moresby, EIB Global said.
The support was announced in Port Moresby during the EU–Papua New Guinea Business Forum.
“Our financing will help Papua New Guinea extend clean, reliable water services to more communities,” EIB Vice-President Ambroise Fayolle said.
European Commissioner for International Partnerships Jozef Síkela said the EU’s €16.4 million contribution would support improved access to clean water for an additional 400,000 people.
Papua New Guinea Secretary for Treasury Andrew F. Oaeke said the financing would strengthen the resilience of urban water services against climate change.
EIB Global noted that its financing forms part of a $77.3 million Papua New Guinea water supply and sanitation programme supported by the World Bank since 2017, with the World Bank financing works in six municipalities and EIB Global supporting other towns.
