Treasurer Ian Ling-Stuckey

“This latest and very severe wave of COVID-19 is having very serious impacts across all of Papua New Guinean society,” he said. “We are not only fighting it to save precious lives, we are also trying to save businesses, jobs and the domestic economy.

“The Marape Government is taking a balanced, whole-of-society approach to protecting the nation, and values suggestions from business and commerce.”

The 2021 budget saw a massive increase of K31.5 million from the 2020 budget of K115 million mainly attributed to a number of Public Investment Programs (PIP) under the Marape-Basil Government.

The 2020 budget then was also increased by K30 million mostly due to the establishment of an effective Internal Revenue Collection Division.

Treasurer Ian Ling-Stuckey described COVID-19 as a “dual killer”.

“It kills on the health front, especially our elderly and those already sick. It also kills on the economic front. The Marape Government is fighting hard on both,” stated Ling-Stuckey.

On the health front, the Marape Government has lifted resources to the health sector by over 25 percent, a lot of that as a result of the Coronavirus Economic Stimulation Package, and the rest from better economic and financial management.

Treasurer Ian Ling-Stuckey said today that Tuesday’s Budget Management Committee meeting No.49 instructed officials to urgently release K41.2 million in cash to Provincial Health Authorities.

“This is a necessary immediate step to deal with the growing COVID-19 health risks across the nation,” he stated.

Ling-Stuckey outlined that 2020 started with a positive outlook.

“After the economic recession of 2018, growth had bounced back by 6 percent in 2019 under the Marape Government. The prospects were good as the economic reform program, supported by international partners, had begun,” he stated.

“Budget reforms were underway, PNG Connect was underway, foreign exchange reforms were underway, financing reforms were underway, tax avoidance was being targeted, and the growth focus was on supporting the agriculture, tourism, manufacturing and services sector, especially SMEs.

In a statement, Treasurer Ian Ling-Stuckey said he had the opportunity to meet with the Australian High Commission on December 3^rd, including a conference call with officials from the Australian Treasury, to talk about the broader strategic relationship and PNG’s multi-year budget repair and economic reform program.

“As previously foreshadowed, this involves a total of $US400 million of good, cheap, friendly financing assistance,” he stated.

“In Kina terms, the financing agreement I signed yesterday (Nov 22) provides around K1,380 million of financing, with interest costs of effectively zero because of the G20 debt relief which I had helped initiate. After the debt relief period, the financing moves to interest costs linked to 10 year Australian Government Bond yield which is currently well under 1 percent per annum.

Treasurer Ian Ling-Stuckey is planning on addressing this concern soon.

The subject of rigorous bank processes was brought up during question without notice when Bogia MP, Robert Naguri, expressed his frustration over the rejection of a discretionary fund cheque.

“This cheque was paid by me to one of my disabled public servants, who is my budget officer, to assist him to build his house so when he retires, he can go and settle with his family,” said Naguri.

Treasurer Ian Ling-Stuckey made this statement following his meeting on Wednesday (May 20) with former Prime Minister, Sir Michael Somare.

“I was honoured to have a really good discussion with our founding father and Grand Chief Michael Somare, PNG’s longest serving Prime Minister. We had a long meeting talking about the challenges of good governance, including through demanding times,” stated Ling-Stuckey.

“The COVID-19 Crisis is clearly one of the most demanding times in our history. I want to learn lessons from our past so we can best protect our future.

This follows the National Executive Council approval of two major elements of the Government’s K5.7 billion coronavirus Economic Stimulus Package.

“This is K100 million more than initially planned to ensure the Marape-Steven Government can respond flexibly in this war against this hidden virus,” stated the Treasurer.

K280 million will go towards health and security measures, and K320 million will be spent on supporting the economic sector - agriculture, households and business.