Photo credit: ANU
Despite major setbacks faced by many economies of Island Nations throughout the Pacific due to the global Covid-19 pandemic and the Ukraine-Russian war from 2019 to 2021, a recent study and report released by the Australian National University (ANU) shows that PNG's Gross Domestic Product (GDP) has been progressing well compared to other Pacific Island Nations.
The University's research report reveals that PNG's non-resources GDP growth rate was progressing at level by 7 per cent per annum while other pacific island countries performed relatively low. And this is expected to increase by 13.2 per cent next year.
In comparison, the analysis made by the Australian National University shows that the Solomon Islands GDP growth rate was recorded at a negative 6 per cent, Samoa negative 11 per cent, Fiji at a negative 1 percent while Vanuatu at 0 per cent.
Treasurer Ian Ling-Stuckey was moved by the ANU report and expressed his gratitude to the Government for sustaining the economy under trying times.
"This is very good news for the Government in sustaining the economy during the global Covid-19 pandemic and the Ukraine-Russian war". Even when we look at total GDP, including the resource sector PNG was only behind Tuvalu in which they have a population of about 1000th to that of PNG". Treasurer Ling-Stuckey said.
PNG has weathered and is expected to weather the global economic storms from Covid-19 and the Ukraine-Russian war much better than our neighbours, "the Treasurer said.
Ling-Stuckey stated that some of these had to do with different economic structures, but much is due to good, responsible and responsive economic management. While PNG has performed very well in terms of the Pacific, Treasurer Ling-Stuckey stressed that the performance is just above developing countries as a whole.
"These is why we need to continue on our path of budget repair, strengthening of institutions, and increasing our non-resource GDP growth, these are vital steps towards reaching economic independence". The country's Treasurer said.
