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According to kina Bank's chief executive officer Greg Pawson, the Papua New Guinea economy would rebound this year, with positive gross domestic product (GPD) growth.
In Port Moresby, Pawson noted that the government's support for resource projects such as Papua LNG, as well as more to come, will bring foreign investment into the country over the next several years.
“Well, firstly the economy is expected to rebound and the bright light on the horizon is the Government’s endorsement of the Papua LNG Project which will bring an investment into the country over the next several years together with a number of other projects pending finalisation.”
Pawson went on to say that they were keeping a close eye on the present Russia-Ukraine crisis and will continue to analyze any potential geopolitical concerns. Rising commodity prices bode well for exports, but this was countered by rising inflationary pressures on imports.
Kina needs to take advantage of its strong organic growth opportunity in PNG, as well as the good market attitude toward its brand, he added, in order to continue to create profitability and a capital basis to support future investments.
“Our overall market share increased to 16 per cent (up from 11 per cent from when we completed the ANZ acquisition) but there’s still a big gap between us and BSP at around 65 per cent.
“This is a major structural issue for the PNG financial services system that we were seeking to address by acquiring Westpac’s Pacific businesses.”
Reference: Esila, Peter. The National (10 March 2022). “Economy Expected To Rebound”.
