The FINANCIAL — The Government of Australia is providing a AU$3.3million grant ($2.61 million) as additional financing to help fund the preparation of the proposed Nauru Sustainable and Climate Resilient Connectivity Project, which is currently supported by a $900,000 technical assistance from the Asian Development Bank (ADB).
The $79.59 million project, which will enhance port operations in Nauru through structural improvements and capacity building of relevant agencies, will be financed by ADB, the Government of Australia, the Green Climate Fund, and the Government of Nauru. The project is scheduled for discussion by ADB’s Board of Directors in early 2018.
“The Government of Nauru asked that reform and capacity development within the Port Authority of Nauru begin before project approval, so the design of the existing ADB technical assistance was modified to accommodate this request,” said Emma Fan, Regional Director of ADB’s Pacific Liaison and Coordination Office in Australia. “We appreciate the additional financial contribution from the Government of Australia to fund this component of project preparation.”
“Australia is pleased to provide support for crucial reforms and capacity development within the Port Authority of Nauru,” said John Donnelly, Australia’s High Commissioner to Nauru. “This important project will strengthen Nauru’s capacity to manage its port facility, increasing Nauru’s economic sustainability and boosting its connectivity, both regionally and to the world.”
The reforms and capacity development to be implemented under the revised ADB-supported technical assistance will be based on a port reform study conducted as part of the technical assistance. The Government of Nauru and the Port Authority of Nauru will ratify and carry out reforms, including institutional strengthening, capacity development, tariff restructuring, and the engagement of the private sector in port operations. These reforms will help the government achieve sustainable and efficient port operations in Nauru, according to ADB.
ADB has been supporting the Government of Nauru since 1991 and has approved a loan of $5 million, 7 grants totaling $20.3 million, and 13 technical assistance projects totaling $4.4 million. Active programs include two grant projects for $12.44 million and technical assistance worth $1.48 million.