Central Bank

APEC Finance and Central Bank Deputies’ meet begin

The meeting began with a seminar on Accelerating Infrastructure Development and Financing.

First Assistant Secretary, for Substantive Macro Economic Policy, of the Department of Treasury, Nancy Lelang, who is also the Moderator, said the seminar will give an opportunity for Papua New Guinea to learn the best practices of planning, financing and delivering quality infrastructures.

“We will discuss the importance of having robust governance and institutional frameworks on how we can achieve this.

Bakani maintains stance on political statements

Bakani was responding to Loop PNG’s questions regarding a statement released by former prime minister and economist, Sir Mekere Morauta, about Bank of Papua New Guinea (BPNG) irresponsibly facilitating the government’s debt management.

Sir Mekere claimed that the latest data released by the BPNG shows that the central bank has been printing money for the government, fueling its wasteful spending.

However, Bakani told Loop PNG that he will not comment during this election period.

PNG facing two crises, claims Kimisopa

Opposition spokesman on Finance & National Planning, Bire Kimisopa, says tax revenue has tanked over the last four years at approximately K9 billion per year, and is expected to fall in 2016 and in 2017 respectively.

“Any dividend from the State-Owned Enterprises will be subject to the prevailing adverse economic conditions and may erode the strength of their combined balance sheet,” says Kimisopa, who is also the Goroka MP.

“The extraction of loans from SOEs, disguised in the form of dividends, will not exonerate the SOEs from fraudulent and deceitful conduct.

PNG has low debt burden says Bakani

He said the domestic debt service burden in 2015 was K991 million and external debt service was K84 million.

This comprised 7.3% and 0.6% of total expenditure, respectively.

Bakani was speaking at the recent 32nd Australia-PNG Business forum in Cairns pointing out some key economic areas which was raised by critics in the past years and months.

Bakani defends Government’s economic status

Speaking at the 32nd Australia-PNG Business Summit in Cairns recently, Bakani said in most instances critics are being misrepresented.

He said the new nominal Gross Domestic Product data released by the National Statistical Office (NSO) at end March 2016, showed that the size of the economy is much bigger than earlier estimated.

“We have a very long streak of GDP growth lasting for the last 14 years. In the last five years 2010 to 2015, Nominal GDP grew from K38.6 billion to K64.2 billion, a growth of 69% or on the average by 13.8% per annum.”

Polye demands truth about foreign reserves

 Polye claims the back log is about K2 billion.

He has queried Mr Marape whether the government had any corrective measures to ease the bottleneck to continuously spin the wheels of the business activities in the country.

His final question was why the local currency was continuing to devalue  against the US dollar since 2013.

In response Marape said the trade (export and import) cover would be K5.7 billion at the end of this year.

Polye calls for accurate debt data

Polye made this call when assessing the current revenue inflow problems.

He said the fall in the global crude oil and gas prices had drastically affected the country.

He said the government’s 2015 budget projections framed without considering such external shocks had taken a hard hit as a result.

Polye, who earlier called on the government to immediately introduce a supplementary budget to revise the figures, believes there’s more to information on the status of the economy that the government and financial institutions are purposely withholding from its citizens.