Chinese Government provides $25.35 million grant — via ETCA — for Western Pacific University Construction Project

In 2013, China’s Ministry of Commerce (MOFCOM) and the Government of Papua New Guinea reportedly committed $25.23 million of grant funding for the Western Pacific University Construction Project.

The grant proceeds were drawn from an Economic and Technical Cooperation Agreement (ETCA) signed by the two governments on January 10, 2013 and at least one additional ETCA. The Government of Papua New Guinea also contributed PGK 17 million of its own funding to the project.

The purpose of the project was to construct a state-owned university focused on technology in the town of Ialibu within Ialibu-Pangia District and Southern Highlands Province. The project scope included the construction of a library, teaching complex, student dormitories and faculty residences.

The Royal Melbourne Institute of Technology was expected to provide managerial oversight of the university, which at its peak aims to enroll 6,000 students from PNG and the Pacific. China CAMC Engineering Co., Ltd. (CAMCE) was the contractor responsible for implementation.

Prior to the start of construction, the Government of Papua New Guinea acquired the land for the project site from the Pekai-Aluwe tribe at a cost of PGK 5.1 million. Construction was initially planned to be completed in August 2017. Construction began in March 2016.

However, as of February 2019, the project was still in the infancy of its construction phase, with lecture theaters and staff accommodations far from complete. As of May 2021, construction was still underway but nearing completion. A formal project completion ceremony took place on January 3, 2023. This project has proven controversial.

Some observers have sounded the alarm about political bias, noting that Prime Minister Peter O'Neil insisted the university be located in his Pangia-Ialibu electorate.

Others have argued that the money for the project would have been better spent on existing underfunded universities since Ialibu is remote and relatively inaccessible.