Bank of Papua New Guinea Monetary Policy Statement September 2016

“Absolutely not, inflation goes up and down but it has averaged 6 per cent over the last 15 years and it won’t change in one (year),” Prime Minister O’Neill told Loop PNG.

He also appealed to Papua New Guineans to have confidence in the country’s Government and management of the economy.

Bank of Papua New Guinea Monetary Policy Statement for the month of September 2016 forecasted the annual inflation rate to reach 7.5 per cent in 2017 because of excessive government spending to fund the 2017 National Elections and 2018 APEC meeting.

That is the forecast of the Bank of Papua New Guinea Monetary Policy Statement for the month of September 2016.      

 “As of 30^th June 2016, the level of gross foreign exchange reserves was US$1, 664.5 (K5, 153.1) million, sufficient for 10.6 months of total and 17 months of non-mineral import covers,” stated the BPNG report.

“By the end of 2016, the level of foreign exchange reserves is projected to be US$1,724.7 (K5, 466.6) million, compared to US$1,865.1 at the end of 2015.”