Completed Development AidData Chinese Aid

Chinese Government provides PGK 8 million interest-free loan for Port Moresby International Convention Center Construction Project (Linked to Record ID#64131, #64130)

$8M USD

Funder	China Ministry of Commerce
Recipient Organization	Government of Papua New Guinea
Country	Papua New Guinea
Start Date	Jan 01, 2010
End Date	Oct 20, 2028
Duration	6,867 days
Number of Grantees	1
Roles	Recipient
Data Source	AidData Chinese Aid
Grant ID	`73611`

Grant Description

Chinese Government provides PGK 8 million interest-free loan for Port Moresby International Convention Center Construction Project Between 2007 and 2010, the Chinese Government provided approximately $20.2 million (PGK 63,509,000) of grant funding (captured via Record ID#64130) to the Government of Papua New Guinea for the Port Moresby International Convention Center Construction Project.

The grant proceeds were drawn from six different Economic and Technical Cooperation Agreement (ETCAs) that the two governments signed on March 20, 2007, September 6, 2008, April 15, 2009, November 4, 2009, December 16, 2010, and December 23, 2010.

Additionally, on December 23, 2010, the Chinese Government and the Government of Papua New Guinea signed an Economic and Technical Cooperation Agreement (ETCA), which committed a PGK 8 million interest-free loan (captured via Record ID#73611) for the Port Moresby International Convention Center Construction Project.

The purpose of the project was to construct a 10,000 square meter convention center in a suburb of Port Moresby called Waigani — next to the Parliament House — on a project site that is spread out over 3.35 hectares.

It involved the construction of a 700-seat main conference hall; a 50-seat conference hall; 2 x 137-seat medium conference halls, 6 x 25-seat small conference rooms; a ministerial office and other administrative offices; a one 400-person capacity multi-purpose hall; a dining room and kitchen; a service road; guard houses; and a carpark.

China IPPR International Engineering Co., Ltd (中国中元国际工程有限公司), a subsidiary of Sinomach, and China Jiangxi Corporation for International Economic & Technical Cooperation (CJIC) were the contractors responsible for project design and implementation. A project feasibility study and market survey was conducted between August 25, 2010 and September 20, 2010.

Then, a formal groundbreaking ceremony took place on November 6, 2012. The project was originally expected to be complete in 2015 in time for the South Pacific Games. However, the project encountered various obstacles and delays. Construction was temporarily halted in July 2013 following attacks on Chinese workers.

The project passed a final MOFCOM inspection on December 17, 2015. A grand launching ceremony for the convention center took place on September 27, 2016.

📋 Staff Comments

This project is also known as the Waigani Convention Center Project, the the Waigani Convention Centre Project, or the International Conference Center (ICC) Construction Project. The Chinese project title is 巴布亚新几内亚国际会议中心 or 巴新国际会议中心项目 or 承建的援巴布亚新几内亚国际会议中心项目.The ICC was later refurbished with a Chinese Government grant (worth 20 million Kina) and handed over the local authorities on April 11, 2018, in time to host the 2018 APEC meetings. This grant is captured by Project ID#64131. Since loan terms for the interest-free loan are unavailable, AidData has set maturity period to 20-years by default and grace period to 10-years by default per China's Foreign Assistance White Paper (http://www.cidca.gov.cn/2018-08/06/c_129925064_3.htm) which states that the maturity period of interest-free loans is 20-years, with a drawdown period of 5-years, grace period of 5-years, and repayment over 10-years. AidData treats the drawdown period as providing 5-years of additional grace.

📚 Sources & References

WORK ON CONVENTION CENTRE TO RESUME
PM O’Neill pushes for projects’ completion before major events in 2015
Increased competition in Papua New Guinea construction sector
PNG and China sign multi-million kina agreements
Report of the Auditor General
Remarks by H. E. Chinese Ambassador Qiu Bohua At the Signing Ceremony of the Agreement on Economic and Technical Cooperation
The Chinese Embassy and PNG Government Jointly Hold a Ceremony for Celebration of 40 Years of Diplomatic Ties and the 67th China National Day as well as the Launching of China-Aided International Convention Centre
CJIC makes a landmark achievement in foreign aid construction
中国外交部副部长郑泽光视察援巴布亚新几内亚国际会议中心项目
援巴布亚新几内亚国际会议中心项目顺利通过竣工验收
公司承建的援巴布亚新几内亚国际会议中心项目正式开工
中国中元国际工程有限公司
巴布亚新几内亚国际会议中心
The Chinese Embassy and PNG Government Jointly Hold a Ceremony for Celebration of 40 Years of Diplomatic Ties and the 67th China National Day as well as the Launching of China-Aided International Convention Centre
Feature: A tinge of Chinese color in PNG's APEC hosting city
On April 11, 2018
PNG international convention center built by China hosts APEC
Remarks by H. E. Chinese Ambassador Mr.Qiu Bohua Loan applications and disbursements are still being received and processed as the projects continue to evolve. Ongoing monitoring and evaluation are in place to ensure project continuity.