Oxford Business Group

PNG’s 2018 business review

In its report, the Oxford Business Group said the February 26 earthquake – along with its series of aftershocks – that struck the central-western Hela Province was the most significant event of the year, causing the deaths of around 200 people and severely damaging much of the country’s industrial infrastructure.

“As a result, major developments such as the $19bn ExxonMobil-led PNG LNG project and Pogera gold mine were halted for several months, delivering a major blow to the economy.

PNG eyes Chinese, Asian markets

In a statement, the Oxford Business Group said in mid-September, the government announced that Chinese tour groups travelling on trips sanctioned by PNG’s Tourism Promotion Authority (TPA) will be able to obtain visas on arrival, rather than having to apply months in advance, as had been the practice.

PNG looks to boost forex flows: Report

In a statement, the Oxford Business Group said foreign currency reserves totalled PGK5.60bn ($1.72bn) at the end of June, up from PGK5.56bn ($1.71bn) at the end of March.

This was according to a statement issued by the Bank of Papua New Guinea (BPNG).

“The bank cited increases in international commodity prices, along with the resumption of production at the Ok Tedi and Porgera mines and the PNG LNG project following a February earthquake, as significant factors behind the rise in foreign exchange,” reports the OBG.

PNG moves to lower costs for agricultural exports: Report

In July, Air Niugini Cargo, a subsidiary of the flag carrier, announced it would offer a 50 percent discount to firms transporting PNG-made products to export markets from mid-2019, increasing access to external markets for domestic suppliers, particularly in the agricultural sector.

APEC PNG Authority signs MoU with Oxford Business Group

The MoU will be to provide research about Papua New Guinea’s economy for the 2018 APEC Leaders’ Summit, which takes place in Port Moresby in November.

The agreement was signed by Stephanie Harl, OBG’s new country director in PNG, on behalf of the global research and consultancy firm, and Christopher Hawkins, CEO, APEC PNG Authority.

Harl said she was “delighted” that OBG’s team would be making a key contribution to the landmark event, which had significant implications for both the country and investors.

Papua New Guinea CEO survey launched

As part of its second annual survey on PNG, the global research and consultancy firm, Oxford Business Group (OBG), asked over 100 C-suite executives from across the country’s industries a wide-ranging series of questions on a face-to-face basis aimed at gauging business sentiment. The results of the survey are now available to view in full on OBG’s Editors’ Blog at: https://oxfordbusinessgroup.com/blog/patrick-cooke/obg-business-baromete...

PNG hikes tariffs to encourage local industry

First announced in the 2017 supplementary budget, and reinforced in the 2018 budget, the amended tariff regime seeks to enable local manufacturers to compete with imports, which policymakers hope will raise domestic production and create employment opportunities.


New tariff regime signals shift in trade policy

Importantly, the levy increases represent a change in course from the gradual import duty cuts implemented under the Tariff Reduction Programme (TRP), instituted on the advice of the World Bank in 1999.

PNG recorded modest growth: Group

This is due to an increase in global commodity prices and production in the domestic mining industry, coupled with improved performance in the non-extractive sector.

“PNG’s economy grew by an estimated 2.2 percent in 2017, according to the 2018 budget tabled in Parliament on November 28,” reports the Group.

“While above the 2 percent annual growth rate recorded in 2016, the figure was below the 2.7 percent expansion forecast in the Treasury’s Mid-Year Economic and Fiscal Outlook, released at the end of June. 

CEO survey highlights opportunities in PNG’s frontier market

The findings were released alongside The Report: Papua New Guinea 2017, OBG’s latest publication on the country. Key issues explored in the report include: the benefits that stabilised commodity prices and reforms are bringing to PNG’s economy, especially the balance of trade, which is at a record high; national efforts to expand the non-mineral sector; and new developments in the country’s project pipeline.

Record export growth explored in new report on PNG

The Report: Papua New Guinea 2017 examines the country’s balance of trade, which is at a record high, buoyed by rising levels of exports and a reduction in imports. It shines a spotlight on Papua New Guinea’s important mining sector, which remains a major source of export revenues, thanks to the country’s abundant and diverse range of minerals. OBG also considers the challenges that the industry faces, such as rising operating costs and infrastructural shortfalls, and efforts to address them.