PNG is Australia’s closest neighbour. Despite positive economic growth rates in recent years, PNG’s social indicators are among the worst in the Asia Pacific. Approximately 85 per cent of PNG’s mainly rural population is poor and an estimated 18 per cent of people are extremely poor. Many lack access to basic services or transport. Poverty, unemployment and poor governance contribute to serious law and order problems. Improving the lives of poor people and promoting stability are central to Australia’s interests.
How we give aid
Australia works with national, provincial and local levels of government in PNG to help them deliver essential services such as health and education to the poorest communities in PNG. Whilst some of our assistance is provided directly to the Government, most of our aid is delivered with the assistance of managing contractors. They help us provide technical assistance, infrastructure and other services, including essential funds to the Government. We also deliver some aid directly through non-government organisations (NGOs), and organisations such as the United Nations, World Bank and Asian Development Bank.
Education
The PNG education system faces a range of challenges. These include poor access to schools, low student retention rates and issues in the quality of education. It is often hard for children to go to school, particularly in the rural areas, because of distance from villages to schools, lack of transport, and cost of school fees. There are not enough schools or classrooms to take in all school-aged children, and often the standard of school buildings is very poor.
For those children who do go to school, retention rates are low. Teacher quality and lack of required teaching and educational materials are ongoing issues. Church-run schools make a huge contribution to education in PNG with more than 50 per cent of elementary and primary schools administered by churches.
Economic development
PNG is