Australia’s government to fund Papua New Guinea rugby team to the tune of $600 million in historic deal
SportsIn
December 12, 2024

The Australian government has announced a landmark agreement to provide $600 million in funding for the creation of a rugby team in Papua New Guinea (PNG) that will join Australia’s National Rugby League (NRL) in 2028. The project, which has a sporting and geopolitical component, seeks to strengthen bilateral ties and develop the rugby in the Pacific region.

The agreement, which will run until 2034-35, will allow Australia to withdraw financial support without just cause at any time. In addition to including measures such as the construction of a players’ complex and the implementation of tax incentives, the project aims to benefit not only sport, but also economic and social relations between the two nations.

A PROJECT THAT GOES BEYOND SPORT

Australian Prime Minister Anthony Albanese stressed that this collaboration has an impact that transcends rugby. “Rugby league is PNG’s national sport, and a team of our own will foster connections between our countries. This project will benefit both their economy and society,” he said.

James Marape, prime minister of PNG, underlined the importance of the agreement in terms of national unity and development. “This goes beyond the playing field; it is a tool to unite our region and strengthen our security talks,” he said.

MILLION-DOLLAR INVESTMENT AND LOCAL DEVELOPMENT

The budget is divided into $290 million for the NRL club and $250 million for development programs in the region. Of this amount, $60 million will go towards the NRL license, while the average annual cost to Australia will be $48 million. For its part, PNG will invest more than $100 million in facilities and tax benefits.

Peter V’landys, chairman of the Australian Rugby League Commission, called the project a “historic step” for the sport and the region. “Rugby is not just a sport, it is a force for building stronger communities. This team will open doors to millions of new fans and future talent,” he said.

WOMEN’S TEAM STILL IN DEVELOPMENT

While the men’s team will make its NRL debut in 2028, the women’s team needs more time to reach the competitive level. Currently, a youth development program, led by coach Joey Grima, involves more than 700 teenagers, who must also meet educational requirements.

With this agreement, Australia strengthens its position in the Pacific. In addition to promoting sports, it is expected to increase Australian tourism in PNG, contributing to the economic development of the region and strengthening bilateral relations in an environment of stability and cooperation.

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