History made: Government pays DSIP, PSIV in full for 2025

Finance Minister, Thomas Opa, has said for the first time, full payment of District Services Improvement Program and Provincial Services Improvement Program funds for 2025 financial year has been made to all districts and provinces nationwide.

This marks a significant milestone in the Marape-Rosso Government’s commitment to timely, equitable and transparent funding for service delivery at the provincial and district levels, he said in a statement yesterday.

Related article on: https://www.ddawatch.org/node/1407 

Historically, the release of DSIP and PSIP funds has often been affected by cash-flow constraints, administrative delays and competing national priorities, resulting in partial or delayed disbursements.

These challenges have impacted project implementation and service delivery in many rural and urban communities.

However, for 2025, Mr. Opa said the Marape-Rosso Government prioritized early fiscal planning, improved budget discipline and strengthened coordination between the Treasury, Department of Finance and implementing agencies.

As a result, by December last year, all provinces and districts had received their full allocations within the financial year and underscoring an equal bi-partisan approach, he said.

Mr. Opa said the Department of Finance payment records confirm that it had paid out a total of K1.18 billion, of which K960 million was paid to the 96 districts and K220 million to the 22 provinces, with each receiving K10 million.

“This achievement reflects the Marape-Rosso Government’s broader reform agenda aimed at restoring confidence in public financial management and empowering sub-national governments to deliver tangible outcomes for their people,” he said.

“DSIP and PSIP funds are intended to directly improve the lives of citizens by supporting priority development areas, including health, education, infrastructure, law and justice and economic development.”

“With this successful and full disbursement of PSIP and DSIP funds, no governor or Member of Parliament should make further noise or accuse the government of any bias in the allocation of these funds.”

“The Marape-Rosso Government reminds all provincial and district administrations that DSIP and PSIP funds must be used strictly in accordance with approved guidelines, and that proper acquittals and reporting are mandatory.”

“Oversight institutions, including relevant departments and statutory bodies, will continue to monitor compliance to ensure value for money and prevent misuse of public funds.”

Mr. Opa said the full and timely payment of DSIP and PSIP funds for 2025 demonstrates the Government’s resolve to put service delivery first and to ensure that development funding reaches communities where it is most needed.

The Marape-Rosso Government calls on all provincial governors, members of parliament, administrators and local leaders to work collaboratively and responsibly to translate these funds into real and lasting benefits for the people, he said.

“With this achievement comes responsibility. I expect all leaders and administrators to ensure these funds are spent strictly in accordance with the guidelines and that proper acquittals are submitted.”

“This is a major financial commitment of Government; hence, we will not hesitate to take action where public funds are misused.”

“Our commitment is clear; public money must work for the people, and timely disbursement is a key part of restoring confidence in our public financial system.”

ATHURSON Olua
ATHURSON Oluahttp://www.thepngsun.com
He holds a Bachelor of Art Degree majoring in Theatre Arts while minoring in Journalism/Public Relations from the University of Papua New Guinea (UPNG).

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