France and PNG National Leaders witness LoI signing to deepen cooperation and partnership for a greener and more inclusive financial sector in PNG

Port Moresby, Papua New Guinea July 28, 2023- The Global Green Growth Institute (GGGI), France Development Agency (AFD), and the Bank of Papua New Guinea (BPNG) converged at the APEC Haus in Port Moresby to sign a Letter of Intent (LoI) to strengthen partnership in promoting a safe, financially inclusive, and sustainable future for all Papua New Guineans.

Witnessing the signing ceremony was French President H.E Emmanuel Macron who was on a one-day state visit to Papua New Guinea (PNG) and PNG Prime Minister Rt Hon James Marape. President Macron’s visit was historically the first-ever state visit by a French President to PNG. The two national Leaders had their high-level bilateral meeting on key areas of mutual cooperation and partnership between their two countries before the signing ceremony.

Representatives who signed the LoI include Mr. Sakiusa Tuisolia, GGGI PNG Country Representative, Mr. Remy Rioux, Chief Executive Officer AFD, and Mrs. Elizabeth Genia, Acting Governor BPNG.

The objective of the LoI is to formalize cooperation between AFD, BPNG and GGGI to integrate sustainable development and climate-related issues in PNG’s financial and banking sectors, to contribute to closing the gap between supply and demand of funds to cope with the impact of climate change and ensure a modern, reliable, safe, and sustainable economy to benefit the population of Papua New Guinea.

AFD is joining forces with BPNG and GGGI to green Papua New Guinea’s financial system and incentivize stakeholders. Starting next year, AFD is looking to scale up deployment of the Green Finance Center and support the provision of appropriate financial tools and incentives to the Bank of PNG and the country’s financial institutions. The project on financial inclusion and greening of the PNG financial sector was initiated in 2021 through the collaboration of BPNG, GGGI, Climate Change Development Authority (CCDA), commercial banks and financial institutions.

French President Marcon in his official address at the Official State Lunch that followed the signing ceremony said, “I reaffirm France’s support to deepen cooperation with the Government of PNG in several important areas including protecting and managing the country’s tropical rainforests which is the third largest in the world, conserving its rich biodiversity, ocean and marine ecosystems, and promoting climate resilience and sustainable development with significant value creation benefits for Papua New Guineans including indigenous resource owners.”

The Chief Executive Officer of AFD, Mr Remy Rioux, said, “The LoI demonstrates AFD’s support to explore areas of partnership in the greening of PNG’s financial sector in view of its significant value creation benefits for the country such as having stronger and greener financial institutions, increased green investments and economic activity especially in MSMEs, and raise financing for climate change mitigation and biodiversity conservation.”

Ms Elizabeth Genia, Acting Governor BPNG, said, “This collaborative effort to green the financial institutions and their loan products will ensure that PNG’s rich biodiversity and limited stock of natural resources are exploited in an environmentally friendly, socially sustainable and responsible manner to sustain livelihoods and also ensure that financial institutions are responsible and minimizing environmental degradation through green financing.”

“The signing of this LOI is an encouraging and progressive step as we collaborate with AFD in PNG to support the greening of the country’s financial sector and achieve transformative climate mitigation and adaptation impacts through increased investment of private and public capital by large corporates and MSMEs,” Sakiusa Tuisolia, Country Representative, GGGI PNG, said.


Photo caption:

Background (Left-right): PNG Prime Minister Rt Hon James Marape and France President H.E Emmanuel Macron witnessing the LoI signing. Forefront (Left-right) Mrs. Elizabeth Genia, Acting Governor BPNG, Mr. Remy Rioux, Chief Executive Officer AFD (with the signed LoI) and Mr. Sakiusa Tuisolia Country Representative, GGGI PNG at the signing ceremony.