Papua New Guinea

This chapter examines Papua New Guinea’s tax regime, focusing on corporate income tax, the introduction of capital gains tax as part of a five-year plan, double taxation agreements with other countries and other key subject areas. It also contains a viewpoint from Jonathan Seeto, Territory Senior Partner, PwC.

While Papua New Guinea’s economy remains dominated by the agriculture, fisheries, forestry and extractives industries, tourism has been identified by government actors as an important source of economic diversification and sustainable development. With around 462,840 sq km of largely untouched land, a wide variety of indigenous flora and fauna, and immense cultural diversity as evidenced by its...

While still lagging behind many of its neighbours in the Asia-Pacific region, the ICT sector in Papua New Guinea has seen significant progress in recent years, which has helped ensure expansion of coverage and offerings. An increase in sector investment has helped both local and international companies expand into rural areas, while telecoms providers have also been able to bring more affordable...

Papua New Guinea’s fertile soils are instrumental in the lives of the country’s residents, both as a source of income and nutrition. The agriculture sector has constituted between 25% and 40% of GDP over the last four decades, while supporting the livelihoods of around 85% of the population. Despite the sector’s importance, however, the evolution of farming has long been restricted by...

Industry has emerged as one of the bright spots in Papua New Guinea’s economy in recent years, providing a buffer against downturns in the commodity cycle. As natural gas prices fell and related businesses struggled, manufacturing held its own. The weak currency and the lack of foreign exchange that accompanied the downturn may have actually helped matters, as trouble sourcing dollars encouraged...

While resources-related projects will always be the engine of the sector, the rising number of residential, hotel, retail, transportation and office developments are becoming increasingly important, as the country’s hosting of APEC in 2018 and the expanding middle class continue to shift Papua New Guinea’s construction priorities. Although a downturn in the commodity cycle, the end of...