25 May 2010

Half of PNG aid budget spent on consultants - review

11:01 am on 25 May 2010

A review of Australia's $A400 million aid programme in Papua New Guinea, has concluded more than half of the money was spent on "technical assistance".

Australia is PNG's biggest aid donor. A review of the PNG-Australia Development Treaty says there have been some successes, like improving roads and tackling the HIV-AIDS epidemic.

But the ABC reports overall the aid was found to have made little difference to life in PNG.

The review found Australian aid was being spread too thinly across too many areas and recommended a focus on improving education.

It said non-government organisations - such as church groups and the health sector - should be given a greater role in delivering aid.

The review also recommended a reduction in the amount of money spent on technical assistance and says AusAID could do more to reduce the cost of hiring consultants.