Papua New Guinea: Pilot Border Trade and Investment Development Project

Sovereign Project | 42135-012

Summary

To promote trade and investment between Papua New Guinea and Indonesia that will improve people's welfare status in Sandaun, as Indonesia provides cheaper products of daily necessities, and investment will generate tax revenues for the Provincial Government and job opportunities.

Latest Project Documents


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Project Name Pilot Border Trade and Investment Development Project
Project Number 42135-012
Country Papua New Guinea
Project Status Closed
Project Type / Modality of Assistance Technical Assistance
Source of Funding / Amount
TA 7125-PNG: Pilot Border Trade and Investment Development Project
Japan Special Fund US$ 900,000.00
Strategic Agendas Inclusive economic growth
Regional integration
Drivers of Change Governance and capacity development
Sector / Subsector Industry and trade - Trade and services
Gender Equity and Mainstreaming No gender elements
Description To promote trade and investment between Papua New Guinea and Indonesia that will improve people's welfare status in Sandaun, as Indonesia provides cheaper products of daily necessities, and investment will generate tax revenues for the Provincial Government and job opportunities.
Project Rationale and Linkage to Country/Regional Strategy Regional cooperation and integration is one of the five core operational areas in the Long Term Strategic Framework of the Asian Development Bank (ADB). Papua New Guinea (PNG) shares the world s second largest island with Indonesia and has potential to benefit from the Asian fast growing economies. The Regional Operations Business Plan 2007 2010 formulated by ADB s Pacific Department in 2007 identified improving trade links between PNG and Indonesia as another avenue for contributing to economic growth and poverty reduction in PNG. Two ADB missions discussed ADB s scope of assistance with the National and Provincial governments, and it was agreed that ADB s initial assistance will focus on the development of the border facilities and institutional framework conducive to the across-the-border trade and investment for the town of Vanimo, West Sepik Province.
Impact The project preparatory technical assistance aims to impact the trade and investment between PNG and Indonesia by improving the physical and institutional environment in West Sepik Province of PNG.
Project Outcome
Description of Outcome A project design for border facility development and institutional development in West Sepik Province which will be agreed between the PNG Government and ADB.
Progress Toward Outcome
Implementation Progress
Description of Project Outputs

The TA focuses on two distinctive outputs: (i) a pilot border facility development project design, and (ii) and an advisory TA program aiming at creating an enabling institutional environment for trade and investment between PNG and Indonesia without exclusion of others.


The first output will be achieved through an association between an international and a national building design and construction firm. The national firm will do the actual design for the border facilities as it knows PNG culture, standards, and approval process. The international firm will supervise and manage the national firm and be responsible for the quality of the design.



The second output will be achieved through an association between the international firm and a national research institute or a team of national individual consultants. Effective interaction between the consultants and the Government will contribute greatly to the quality of the output. It will be commendable if the Government provides the leadership and policy directions and drive the process.

The TA will be implemented over a 12-month period commencing on January 2009.

Status of Implementation Progress (Outputs, Activities, and Issues)
Geographical Location West Sepik Province, Papua New Guinea
Safeguard Categories
Environment B
Involuntary Resettlement C
Indigenous Peoples B
Summary of Environmental and Social Aspects
Environmental Aspects
Involuntary Resettlement
Indigenous Peoples
Stakeholder Communication, Participation, and Consultation
During Project Design
During Project Implementation
Business Opportunities
Consulting Services The TA will require a total of 37 person-months (PM) of international and domestic consulting services to carry out the scope of the study. The consulting services will comprise experts on (i) Trade and Investment Institutional Development ( 8 PM, 4 PM international, 4 PM national); (ii) Building Design and Construction (18 PM, 3 international, 15 national); (iii) Border Management (5 PM, 2 PM international, 3 PM national); and (iv) Socio-economic Study and Assessment (6 PM, 3 PM international, 3 PM national).
Responsible ADB Officer Cai Li
Responsible ADB Department Pacific Department
Responsible ADB Division Pacific Operations Division
Executing Agencies
West Sepik Provincial AdministrationP.O. Box 373, Vanimo 551
West Sepik Province
Papua New Guinea
Timetable
Concept Clearance 08 May 2008
Fact Finding 19 May 2008 to 29 May 2008
MRM -
Approval 11 Sep 2008
Last Review Mission -
PDS Creation Date 10 Jun 2008
Last PDS Update 13 Jun 2008

TA 7125-PNG

Milestones
Approval Signing Date Effectivity Date Closing
Original Revised Actual
11 Sep 2008 14 Oct 2008 14 Oct 2008 31 Dec 2009 - -
Financing Plan/TA Utilization Cumulative Disbursements
ADB Cofinancing Counterpart Total Date Amount
Gov Beneficiaries Project Sponsor Others
900,000.00 0.00 90,000.00 0.00 0.00 0.00 990,000.00 11 Sep 2008 765,130.05

Safeguard Documents

See also: Safeguards
Title Document Type Document Date
Preparing the Pilot Border Trade and Investment Development Project Environmental Assessment and Measures May 2009

Evaluation Documents

See also: Independent Evaluation

No documents found.


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