The availability of foreign currency in PNG is still very challenging.This, according to ANZ PNG managing director Mark Baker, who said this was because the market was still imbalanced. He added that this demand for foreign exchange was outrunning supply which came mainly from the commodity exporters of Papua New Guinea. “This is a structural imbalance an...

An economist said that in light of the pandemic, the economy will come off as weak next year. According to Westpac senior economist Justin Smirk, “We expect that there will be weak economic growth in 2021 following the after-shock and recovery of the Covid-19 on businesses and the economy with mining output also expected to be low. The medium-term recover...

The initiative of the government in subsidising freight services for fresh produce through the transport freight subsidy scheme is continuing.According to Secretary for National planning and monitoring Koney Samuel, the program is still running. He added that they worked on the first phase with the Bismarck Maritime Limited which was done around July and ...

Westpac Group has announced the sale of its businesses to Kina Securities Limited (ASX:KSL) (Kina Bank) for up to $420 million. These are Westpac Fiji and Westpac’s 89.91% stake in Westpac Bank PNG Limited. According to Westpac Group Chief Executive, Specialist Businesses & Group Strategy Jason Yetton, the sale follows the decision of the group to foc...

Australian natural gas developer Santos Ltd has lowered its production cost guidance at US$8.00 (K28)-$8.50 (K29.80)/boe (barrels of oil equivalent) and has upgraded its 2020 production guidance to 87 and 89 million barrels. According to the firm, the upgrade was due to a strong operating performance across its base businesses and represents more than 50 ...

Australian natural gas developer Santos Ltd said that the PNG LNG is a world-class low-cost asset delivering above nameplate productivity. According to chief operations officer David Banks, opportunities for expansion can come in the future. “One core asset that is operated by others is the PNG LNG,” he said. “Exxon Mobil, the operator, does a very good ...

To keep PNG in line with the newest global trends on urbanisation, Papua New Guinea Prime Minister James Marape has launched the National Capital District (NCD) Urban Development Plan in Port Moresby.He thanked NCD Governor Hon. Powes Parkop for ensuring that the services for the people continue to function, for continuing to work to improve the lives of...

The budget for 2021 is critical after an economic downturn this year, said Kina Bank.In a budget review, the bank said that next year’s budget showed a shift in focus towards the non-resource sector - with the goal of establishing a foundation for tangible economic growth outside the resource sector. It added that fiscal consolidation was part of its over...

Palm oil prices have returned to normal.According to New Britain Palm Oil Ltd (NBPOL), the cost is presently at US$880 (K3,019.95) per metric tonne cost, insurance, and freight Rotterdam mark.Country manager Robert Nilkare said that this important achievement was a source of income for employees and smallholders and of foreign currency for the country. He...

The United States has begun rebuilding its relationship with the government of Oro.In a recent visit to the province, US Ambassador to Papua New Guinea, the Solomon Islands and Vanuatu, Erin McKee said that her courtesy visit to the historical sites around the area was an initial step in strengthening their relationship. To understand better service deliv...

In the past 18 months, strong international friendships have helped the government in its continuing economic reform policies.According to Treasurer Ian Ling-Stuckey, this included the chance to meet with the Australian High Commission last December 3 - which included a conference call with Australian Treasury officials - to discuss the robust strategic r...

The K400 million 23-storey Noble Centre building in downtown Port Moresby is set to finish early next year. According to China Railway Construction Engineering Group (PNG) Real Estate Company Ltd marketing manager Maksim Neil, the work was delayed because of the ongoing pandemic. “We have obtained the occupancy certificate from the National Capital Distri...

Part of the efforts of the government to drive enhancement in the performance of state-owned enterprises by venturing into different strategies is the merger between Water PNG and Eda Ranu. This is also to key in reforms to the sector. Kumul Consolidated Holdings Chairman Peter Aitsi said that the reforms are targeted in delivering improved results in two...

To help landowners maximise the productivity and benefits of their land, PNG Biomass is promoting and encouraging the practice of intercropping - where individuals can plant cash crops in between rows.An example is the communities in Markham Valley where new landowner groups are now expecting to open up their land to small-scale agroforestry production. W...

Unlike other economic sectors such as fisheries, agriculture, and mining, the tourism industry in Papua New Guinea has not been explicitly measured in the economic statistics for its contribution to the gross domestic product (GDP).Thus, said PNG Tourism Promotion Authority (PNGTPA) chief executive officer Eric Mossman Uvovo. He added that even if the tou...

A report by the Bank South Pacific (BSP) has shown that all economies have witnessed important contractions in economic activity which resulted in cutting back of profits and dividends by companies.The report also revealed that global firm dividend payments were touted to decrease by 17.5 to 20 per cent this year. On whether this was caused by travel rest...

K92 Mining has revealed that its shares have gone up.With results from the continuing diamond drilling of the Kora deposit at the Kainantu gold, the drilling results are highlighted by hole KMDD0261, which documented several high-grade intersections including 9.80 m at 83.27 g/t Au, 10 g/t Ag and 1.03% Cu (84.92 g/t AuEq, 6.63 m true width) at the K1 Vein...

Petroleum Minister Kerengua Kua said that there will be an announcement next month if the Papua LNG will be a stand-alone project towards the design phase next year. He added that the Total senior management and the delegation of the government will be meeting on Thursday, December 10. “If the decision is made, it will be positive for PNG because we will ...

The business community faces a great deal of uncertainty in 2021. According to Port Moresby Chamber of Commerce and Industry President Rio Fiocco, this was because of the present political instability in connection with the 2021 budget and the commencement of major resource projects.“There is a great deal of uncertainty at the moment both on the political...

Investments on exploration in the extractive sector, especially the mining industry, have decreased in the past decade.According to Chamber of Mines and Petroleum president Gerea Aopi during the outlining the significance of having policy statements in the budget at the Deloitte and Port Moresby Chamber of Commerce and Industry business budget breakfast, ...

As part of the government’s strategy to re-invest back into the rural areas, the Department of Treasury Secretary Dairi Vele has urged companies to look beyond Port Moresby to do business, and begin their investments in outside centres. According to Vele, businesses should branch out to the outside centres to offer people more services. He said, “The Mara...

New Britain Palm Oil Ltd (NBPOL) has outshone 100 companies to top global rankings on sustainable and transparent oil palm production from the sustainable palm oil transparency toolkit (Spott) assessment. New Palm scored 94.4 per cent, putting the firm in a position to compete with others in challenging markets. This achievement borders on strict certific...

To purchase cocoa in East and West Sepik provinces, Paradise Foods Limited signed a memorandum of understanding (MoU) with the United Nations Food and Agriculture Organisation (FAO).According to Paradise Foods chief executive officer James Rice, FAO will support about 10,000 farmers. “These farmers are getting seedlings that will grow to supply us,” he sa...

Prime Minister James Marape has said that an accounting firm that did a budget analysis projected economic growth to bounce back at 3.5 per cent next year. He said that this is due to the recovery by most sectors and improved global demands and consumption - in spite of the pandemic. In a statement, Marape said, “This will see growth rise to an estimated ...