The low commodity prices are very much a reality-check for Governments around the world, Prime Minister Peter O’Neill told the leaders at the Leaders Summit today in Port Moresby.
He said is a test particularly for emerging economies that depend largely on commodities as revenue earners for their countries.
“With those challenges there are also opportunities and we must make the most of it so that we can deliver more to our people.
“We are being affected by low mineral, low oil and gas prices, and lower prices for many agricultural commodities we need to put into perspective some of the issues that are affecting us.”
O’Neill said PNG is no different from other countries in the world who are currently facing the same problem.
“To give you an example, the Government revenue from the oil and gas was almost billion Kina in 2011, last year and this year it was projected at around K260 million.
“Today, we are approaching this situation in a realistic manner – so that we can effectively manage our national economy in a changing global environment.
“We are avoiding the shocks that are beyond our control.”
O’Neill further told the leaders that the summit will give them the opportunity to set new plans and new goals for the eight million men, women and children of the nation and will also give them opportunity to look honestly at what they have done and where they are today as a nation.
The two days Leaders Summit will end tomorrow.