China Eximbank provides $77 million loan for Keltiga Junction to Kagamuga Airport Section of the Highland Highway Reconstruction and Upgrade Project (Linked to Project ID#63173 and #65114)

Between July 5-10, 2016, during PNG Prime Minister Peter O'Neill's state visit to China, China Eximbank and the Government of Papua New Guinea signed a preferential loan framework agreement for the Keltiga Junction to Kagamuga Airport Section of the Highland Highway Reconstruction and Upgrade Project. Then, in 2017, China Eximbank and the Government of Papua New Guinea signed a $77 million loan agreement for the Keltiga Junction to Kagamuga Airport Section of the Highland Highway Reconstruction and Upgrade Project. The borrowing terms of the loan are unknown. However, it is known that the borrower was to use the proceeds of the loan to finance a commercial contract worth K265 million ($77 million) with China Harbour Engineering Co., Ltd. (CHEC) which was signed in August 2016. The purpose of the project was reconstruct and upgrade a 13.76 km Keltiga Junction to Kagamuga Airport Section of the Highlands Highway in Western Highlands Province. CHEC was the contractor responsible for implementation. Construction began in September 2017 and the project was issued a Final Acceptance Certificate (TOC) on or around March 24, 2021.

Additional details

The Chinese project title is 巴布亚新几内亚西高地省高速公路改造项目. This project is linked to Project ID#63173 and #65114, two additional China Eximbank loans for the Highlands Highway Project.

Number of official sources

14

Number of total sources

25