The two governments have signed an agreement to take a "zero tolerance" approach to impropriety.
AusAID's Director General Peter Baxter said the agreement includes a commitment to investigate and prosecute perpetrators.
"Any fraud against development funding is in effect taking money from the least privileged members of Papua New Guinea's society," Mr Baxter said.
PNG's National Planning Minister Charles Abel says the agreement fits well with his government's own anti-corruption strategy.
This year, AusAID will spend nearly half-a-billion Australian dollars in PNG.
I admire what you have done here. I like the part where you say you are doing this to give back but I would assume by all the comments that this is working for you as well. CTFO Company
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