PNG’s first treasurer and New Ireland Governor, Sir Julius Chan, has described the 2022 Budget as flat, high on self-aggrandizement, extravagant on expenditure but very poor on raising revenue.
He predicts the complete overhaul of the National Budget after 2022 National General Elections, Sir Julius gave his views on the budget after the public have requested for an insight into whether there was any practicality or truth in the K22 billion budget, passed by Parliament last week.
“Not only did I not vote to pass the budget, I have no confidence in the Treasurer, because of the experience my province is facing. He robbed New Ireland by withholding money at the beginning of the year for four months and broke down the provincial government’s foundation policy pillars that existed for 10 years. Now he is trying to cripple the nation in the same manner. So how can he run a country when his electorate is not in order?” said Sir J.
According to Sir Julius, Treasurer Ian Ling Stuckey failed to address the immediate Economic trials facing the country and how the government will rectify it in 2022, instead talked about debt free PNG in 2027.
“Why talk about 2027 when the debt problem needs to be solved now? Treasurer may not be around in 2027 to clean up his mess. My prediction is there will be a complete overhaul of the National budget after the National Elections next year.
“All the Treasurer is doing is making Papua New Guineans dig deep into their pockets and passing the burden onto our future generation,” he said.
Sir Julius has supported the Oppositions stance on the 2022 National Budget stating the introduction of the Super Tax on companies like Bank of South Pacific and Digicel is a ‘very poor’ decision and will have a reverse Robin Hood effect on ordinary Papua New Guineans.
“Instead of taking from the rich this government has seen fit to take from the poor, and give to the rich. The burden will be shoved onto ordinary Papua New Guineans who depend on the services of these companies. These companies have managed to thrive on their own accord and disadvantaging them in such a manner is a draconian approach,” said Sir J.
Sir Julius questioned why the Government has not looked to extracting its Super Profit Tax from the Extractive Mining Industry, saying that he can justify better sharing of the super profit in view of the sudden increase by over 800 US per ounce of gold, which should be shared.
He added that the Prime Minister’s decision to differ the Super Tax is a sign that he does not have confidence in the budget and cancel the Super Tax policy all together.
Sir Julius stressed that the Government has its State Owned Enterprises and it can privatize these SOE’s, raise revenue from them, and make the SOE’s work for this country.
Sir J asked why the National Government suddenly put aside K50.9 million for the construction of the Boluminski Highway, 25 years after the Lihir MOA was signed and the Highway already constructed through other funding.