Incentive Fund


DFAT - Australian Aid


Jun 2010 – May 2014


Papua New Guinea

Practice Area

Economic Growth
The Incentive Fund is an Australian aid program that is enabling Papua New Guinean organisations to access funding for innovative projects that have a strong development impact for the people of PNG. This highly successful fund is now into its third phase. Funded by the Australian Government aid program, each phase has been managed by Coffey.

The goal of the Fund is to deliver significant and immediately tangible economic and/or social development outcomes for men, women and children.

Its purpose is to strengthen and reward performing local organisations capable of delivering and maintaining high impact development activities to benefit local communities. 

Incentive Fund Phase III

Twenty organisations have received grants between AUD $235,000 to AUD $4, 681, 800 during Phase III.  These projects range from the development of schools and hospitals to the construction of market places and bridges.  A snapshot of these projects and their locations are illustrated in the map here.

Sixty-five percent of the twenty projects funded in Phase III are in education and 35 percent are in the health sector. This reflects the Government’s development priorities and complements the broader Australian aid program’s sectoral support.  The twenty projects in Phase III have utilised the total grant funding of AUD $60 million.

Incentive Fund Phase III Results to Date 

Health Sector   Education Sector 
10 new hospital wards 35 new classrooms 
7 new specialist wards/clinics/labs  20 new teachers' houses 
71 new staff dormitory beds  606 new female and 511 new male dormitory beds 
69 new staff houses  6 new trade workshops equipped with technical machinery 
10 new community health posts  100 new computers 
102 new water tanks  3 new resource centres/libraries 

Since the Fund’s establishment in 2000, fifty-nine projects across sixteen Provinces have received funding. Grants enable well-managed organisations to access financing for innovative projects and expansion of the services they are mandated to deliver.

Groundbreaking ceremony Mainohana
Groundbreaking ceremony Mainohana