economy

Confidence improves despite high inflation

BSP Group General Manager - Corporate Banking, Peter Beswick in giving his insight in the 2022 BSP Quarter 4 Pacific Economic and Market Insights Report said: “Increased business and leisure travel has seen hotel occupancies reach pre-COVID levels, with many hotel and accommodation facilities near full occupancy.”

He said for its Corporate Banking Customers BSP is projecting that demand velocity will continue throughout 2023.

“Inflation on the other hand remains the primary concern for BPNG, businesses and consumers,” according to Mr Beswick.

ABG outlines 2023 focus areas

Bougainville President, Ishmael Toroama, made the statement during his New Year’s message for the Autonomous Region of Bougainville.

President Toroama said in the last three years, his government had focused on the post referendum joint consultations with the National Government.

With the 2019 Bougainville Referendum results about to be tabled in the National Parliament for ratification this year, the ABG is focused on capacity building in each of its social and development sectors.

Pivot economy towards natural environment: Report

Yet, much of the population have not benefitted from these revenues.

A report recently published by the PNG Conservation and Environment Protection Authority (CEPA) and UNDP, “Making Nature’s Value Visible: Valuing the Contribution of Nature to Papua New Guinea’s Economy and Livelihoods”, outlined this.

“It is the mostly subsistence-based agriculture, forestry and fishing sectors that account for a quarter of the GDP, and supports over 80 percent of the population,” said UNDP.

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Govt Debt is K48.1 Billion

The current outstanding debt is comprised of K25.2 Billion from domestic sources and K22.9 Billion from external sources.

According to the Bank of PNG Central Bank Quarterly Economic Bulletin for the month of December, the total Government deposits at depository corporations increased by K1.3 Billion to K5.2 Billion, mainly between November and December of 2021. 
 
This increase reflected drawdowns of external budget support as well as financing from domestic sources.

Marape Adamant On Building K200b Economy

PM Marape said, “I want Papua New Guinea in the next decade to be a K200 billion economy. I wanted Papua New Guinea to be the Richest Black Christian Nation on Earth.”

The PM emphasized that his statement recognized that Papua New Guinea’s political forebears ushered in political independence in 1975.

He said they crafted legislations, built institutions, wrote policies and established relationships to deliver us political independence.

Marape Govt’s Commitment To Business

“Our judiciary is an assurance that we have the rule of law as the guide to business, commerce and living in PNG. “We have survived economic turbulence, law-and-order issues, changes of government, natural calamities and many others, thus, we will be bigger, better and stronger into the future. As a matter of assurance to all of you who have business interests in PNG, at this juncture, I want to say ‘thank you’ to all the business community of our country,” he said.

PM Marape made these statements at the Annual PNG-Australia Business Forum in Brisbane.

Confidence In Economy

He says this is attributed to recent developments in the resource sector which several major projects.

BSP Group CEO Robin Fleming, says a higher level of confidence in the PNG Economy is expected by the end of 2021.

This follows developments in key resource projects such as the Fiscal Stability Agreement signed between the Government and Total and Joint Venture Partners of the Papua LNG Project, as well as the Environmental Permit awarded to Wafi-Golpu Joint Venture for the mine negotiations to gin on the Wafi-Golpu Mine.

Slower growth, better prospects for PNG

Additionally, strengthening the business environment to spur private sector development will also facilitate broad-based and inclusive growth in Papua New Guinea, according to a report released by the World Bank today.

The World Bank’s Papua New Guinea Economic Update: Slower Growth, Better Prospects, is the second in a series, and was launched in Port Moresby, providing an in-depth analysis of PNG’s economy, together with a special focus on developing PNG’s private sector as an engine of inclusive growth and jobs creation.

‘Strong signs of economic recovery’

Prime Minister Peter O’Neill says they expect this growth trend to continue into the next medium term.

Business houses at this morning’s Port Moresby Chamber of Commerce and Industry breakfast were told that the Government intends to ensure that the economy continues its steady growth over a long period of time.

Prime Minister Peter O’Neill also used the opportunity to reveal that Cabinet approved the 2019 budget yesterday.

“And that again shows a strong sign of recovery. The indications are very, very positive,” he said at the Hilton Hotel this morning.

Shangai flight to open economic opportunities: PM

The charter flight led by Prime Minister O’Neill with government delegation last Wednesday was used as a test flight by Air Niugini with the various NAC verifications.

Prime Minister Peter O’Neill said PNG must tap into the developments that is taking place around the world and China is an example to learn from.

He said it has been a privilege to see first-hand the dynamic developments and core initiatives of the Shanghai Free Trade Zone whilst visiting Administration of the Shanghai Free Trade Zone in the New District of Pudong last Friday.