OPEC Fund supports infrastructure development in Papua New Guinea

Photo: The Road Provides/Shutterstock.com

Tranche 2 of the Sustainable Highlands Highway Investment Program aims at facilitating trade and improving access to jobs, markets and social services for three million people.

The program is designed to rehabilitate and upgrade 430 km of Papua New Guinea’s Highlands Highway. It includes improving road safety, supporting the establishment of logistics platforms and services for agricultural production, and enhancing sector governance through reforms and institutional development.

Tranche 2, which the OPEC Fund is cofinancing with a US$50 million loan, will include the construction or rehabilitation of 71 bridges and related infrastructure along the national Highlands Highway, comprising 41 two-lane and 30 singlelane bridges between Lae Nadzab airport to Kagamuga airport in Mount Hagen.

OPEC Fund Director-General Dr. Abdulhamid Alkhalifa said:

“This ambitious investment program will rehabilitate and upgrade a road which is a lifeline for the population of Papua New Guinea. It traverses the highlands region with seven landlocked, densely populated provinces where the key economic activity is agriculture. Developing a safe and integrated transport network will make a vital contribution to the region’s sustainable growth.”

The project, which the government has accorded top priority status under its Development Strategic Plan 2010 - 2030, stands to deliver multiple benefits: Vehicle operating costs and travel time will improve significantly. Better connectivity will support the integration of rural communities. Increased mobility will encourage farmers to shift from subsistence to market-based, high-volume agriculture. Women in local communities will be particularly encouraged to participate in the project.