The Asian Development Bank (ADB) and Air Niugini Limited (Air Niugini) have signed a US$35.8 million financing package to help modernise the fleet of Papua New Guinea’s (PNG) national airline, improving its efficiency and further raising safety standards.
This initiative will enhance PNG’s domestic and international connectivity and contribute to the island nation’s social and economic growth.
The package includes a US$19 million loan from ADB’s capital resources and a US$16.8 million loan administered by ADB from the Leading Asia’s Private Sector Infrastructure Fund 2 (LEAP 2). The funds will finance the purchase of six Airbus A220-100 aircraft, replacing older models with more reliable, fuel-efficient planes.
“This project highlights ADB’s commitment to sustainable and inclusive development in PNG,” said Officer-in-Charge of ADB’s Papua New Guinea Resident Mission Soon Chan Hong. “By supporting Air Niugini’s fleet renewal, we aim to improve the country’s connectivity, boost economic growth, and enhance air travel safety in the Pacific region.” (PACNEWS)
