Photo credit: Investopedia / Paige McLaughlin
In 2022, the PNG GDP is anticipated to reach K110 billion.
Speaking at the 2022 PNG Update, which was organised by the University of PNG in partnership with the Australia National University, Prime Minister James Marape stated that the GDP of PNG was K79.4 billion in December 2018 and K83.8 billion in 2019.
According to him, the government has been expanding over the last three years by adopting budget strategies to guarantee that the economy is fueled for debt restructuring and reduction, economic stimulation and growth, as well as the productive sustenance of the nation in the provision of public services.
Speaking on the 2022 Budget, Mr. Marape stated that the National Research Institute acknowledged that the enormous 2022 billion Kina budget will support economic growth through expenditure and its following impact on rising consumer demand, in line with the Keynesian school of thought.
“It recognises that consumer demand is vital for businesses to perform well, and create more income and employment in the economy,” he said.
“The national GDP in 2019 was K83.8 billion with a growth rate of 4.5 per cent.
The GDP projected for 2022 is K109 billion, a growth rate of 4 per cent.
BSP delivering a net profit of K1.075 billion in 2021 off the back of a strangled economy can only mean that high budgetary investments by the government have found their way into the banking sector.”
Mr. Marape expressed his happiness that the World Bank acknowledges the expansion of the agriculture industry, which has fared better than other sectors in surviving the epidemic.
“The relatively strong performance of the agriculture sector reflects additional government financial support to small to medium enterprises during the pandemic. Our agriculture price support and freight subsidies will continue going forward,” he said.
Reference: Kamus, Maxine. Post-Courier (21 October 2022). “PNG Economy To Pass K110 Billion In 2022”.
