Loi Bakani

Inflation is manageable: Bakani

In its March 2016 Monetary Policy statement, Bank of Papua New Guine Governor Loi Bakani stated that the annual headline inflation was 6.4 percent in 2015, compared to 6.6 percent in 2014.

“This outcome was mainly due to the pass-through effects of the depreciation of the kina exchange rate and the El Niño weather phenomenon, which more than offset the effects of low international food and oil prices, increased competition and cheaper imports.”

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.”

Govt may not achieve LNG targets: Bakani warns

In November 2015, the National Parliament passed the 2016 Budget with a planned total expenditure of K14.8 billion, which is 2.4 percent lower than the 2015 Budget estimate, and revenue of K12.7 billion.

The Budget deficit therefore is K2.1 billion or 3.3 percent of GDP.

Bakani, in his Quarterly Economic Bulletin said the K12.7 billion revenue is expected to be largely driven by the mineral and petroleum tax.

He said since the release of the 2016 Budget, international prices for mineral and petroleum has dropped further and are forecast to be even lower.

​PM and bank boss to parade PNG prospects for investors

It will be a prime minister pumped up from an apparently successful visit to India and agreement with that country for soft loans and improved ties between the two countries.

Mr O’Neill will deliver the keynote address this morning at the annual Papua New Guinea Advantage Investment Summit.

The summit is a two-day conference on “the Pacific’s fastest growing economy and Australia’s nearest neighbor …..Papua New Guinea’’.