28 Aug 2003

Australian envoy arrives in PNG amid aid review tension

4:35 pm on 28 August 2003

The Australian Prime Minister's special envoy, Robert Cotton, has arrived in Port Moresby on a mission to appease tension between his government and Papua New Guinea over Canberra's plans to review its aid package.

His visit comes amid discussions over how the 200 million US dollar aid is being delivered as Australia has vowed to tie support to good governance.

Mr Cotton will this afternoon meet the prime minister, Sir Michael Somare, and is reported to have a letter from John Howard to be hand delivered.

A statement issued by Sir Michael late yesterday said that political and public concerns have been raised both in PNG and Australia on the effects of Australian aid in PNG and its economic and political considerations.