The Papua New Guinea Prime Minister, Peter O'Neill, has assured Bougainville that his government will honour every funding aspect of the peace agreement.
PNG PM Peter O'Neill Photo: AFP / Peter Parks
The Post Courier reported Mr O'Neill gave the assurance during a briefing on the restoration and development grants owed to Bougainville.
Bougainville's president John Momis has complained for many years that Port Moresby owed many millions in constitutionally guaranteed funding.
Now Mr O'Neill has revealed all the arrears will be paid.
This includes $US88 million dollars for high impact projects; $US29 million for the Buka ring road; and $US10 million to settle legacy projects under the special intervention fund.
This funding is in addition to $US8.7 million allocated to assist the Bougainville Referendum Commission prepare for the vote on independence in October.
