The Papua New Guinea Treasurer Patrick Pruaitch has presented a record K16.2 billion national budget for 2015, but with an increased deficit to K2.272 billion. In his Budget speech, Pruaitch forecasts the economy to grow by 15.5 per cent ‘driven by a full calendar year of gas production and supported by a rebound in the non-mining sectors’. It will be PNG’s 14th successive year of economic growth. ‘PNG is among of a handful of nations

Despite the debate around the boom, there is little doubt that Australian exporters are under pressure – with a declining iron ore price, increased production volumes from lower-cost producers, long-term decline in ore grades, and an increase in the level of impurities for junior miners making an impact. This has put cost reduction in the spotlight, with sustainable policies covering operational efficiency and cost rationalisation more important than ever for both miners and mining service

Allcom PNG and mcr PNG have become the latest technology services companies in Papua New Guinea to consolidate after announcing a merger that will see the enlarged entity realise a number of operational synergies. Business Advantage PNG talks to Luke Byer, Managing Director of the new entity. Growing demand for information and communications technology (ICT) in Papua New Guinea has provided Allcom PNG and mcr PNG with the incentive to merge into one of the

PAPUA New Guinea Ports Corporation has completed the berth 3 extension project at the country’s largest and busiest port. The new port facility at Lae will be used for berthing of construction cargo vessels for mining in the Morobe and Highlands areas. Prime Minister Peter O’Neill officially opened the Lae port overseas wharf extension and commended PNG Ports for their efforts as work continues into the second phase, including the commissioning of the Lae Tidal

DEBT raised in the past two years by the Papua New Guinea government has been so immense it could never have been contemplated in the past. By PNG Report’s Inside Track columnist. According to the government’s 2014 Mid-Year Economic and Fiscal Outlook Report, the projected budget deficit blowout this year has widened by K372.5 million to K2,725 million. Together with last year’s budget deficit of K2.5 billion, that takes public sector debt up by more

Brazil, Russia India, and China—the BRICs countries—provide a great example of four countries with very little natural geographical, cultural or historical ties, which have come together to focus on mutual opportunities and challenges. BRICS expert David Thomas outlines how Papua New Guinea and other Pacific nations could learn from the BRICs. BRICS 2014The four original BRICS nations are Brazil, Russia, India and China, which have now been joined by South Africa. Earlier this year, they

LAE CHAMBER OF COMMERCE CHRISTMAS FUNCTION As advised last week the LCCI will again put on a Christmas function this year. This function will be run conjointly with our member “International SOS Limited”, who will be bringing their Health Directors, to make a presentation of their operation as well as discussing the value of pre-employment and annual health checks, vaccination programs, health risk assessments, health promotion, first aid training and medical emergency response plans. This

The Papua New Guinea economy is on the edge of a ‘slippery slope’, if the Bank of PNG finances government debt and continues to fix the exchange rate at too high a rate. Former Australian Treasury advisor Paul Flanagan argues rising inflation, falling foreign exchange reserves and declining private sector credit growth are compounding the problem. The Bank has agreed to purchase any government bills and stocks that aren’t picked up by the private market,