Economy

Efforts to increase public governance are gradually bolstering confidence in Papua New Guinea’s economy, despite national performance being heavily dependent on somewhat-unpredictable extractive industries. These were affected in the first half of 2018 by an earthquake in February, and recovered in the second half when international commodities prices rose. Recovery in liquefied natural gas production and mining operations after the earthquake continued into 2019, yet weeks of political unrest led to the resignation of Peter O’Neill as prime minister in May. Succeeded by James Marape, the former minister of finance, the new coalition government has inherited significant challenges alongside a host of exciting opportunities. This chapter also contains interviews with Dairi Vele, Treasury Secretary; Robert Nilkare, President, Business Council of Papua New Guinea; Paul Barker, Executive Director, Institute of National Affairs; and Stacey O’Nea, CEO, Port Moresby Chamber of Commerce and Industry.