Results from the Market Conditions Survey indicates business confidence with 70 per cent of companies have continued operations for the 2020 fourth quarter.
Reduced consumption and market demand remains a challenge for businesses.
According to the Business Council of PNG Market Conditions Survey, business houses have seen a continuous improvement from the first and second quarter of 2020, , with 70 percent operating in the current market conditions.
Majority of businesses experienced a financial decline through to the end of 2020, citing Covid-19 restrictions as the major factor affecting business.
Other factors in the revenue decline include the delay of approval of resource projects, closure of operations due to COVID-19, the closure of Porgera Mine, lack of foreign exchange and the global and local economy.
The survey also showed that employment rates have remained stable since September last year.
While the tourism and hospitality sector continues to remain the hardest hit by the pandemic.
There has also been an indication of a major information gap on the government stimulus package, 75 percent of companies’ say they have not benefited from economic stimulus package.
Some of the recommendations based on the survey, include restoring investor confidence, resolving the foreign currency issues, settling debts to the private sector and that the government should focus on accelerating resource projects.