Papua New Guinea: 2008 Article IV Consultation: Staff Report; Public Information Notice on the Executive Board Discussion; and Statement by the Executive Director for Papua New Guinea
IMF Staff Country Reports, April 3, 2009
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- Papua New Guinea: 2008 Article IV Consultation: Staff Report; Public Information Notice on the Executive Board Discussion; and Statement by the Executive Director for Papua New Guinea
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Bibliographic details
- Published: April 3, 2009
- Series: IMF Staff Country Reports
- DOI: https://doi.org/10.5089/9781451831764.002
Summary
- GDP per capita for Papua New Guinea remains low.
- An unattractive investment environment, primarily owing to weak infrastructure, problems with governance, and high crime, curtails development.
- Executive Directors commended the authorities for:
- saving the bulk of recent windfall mineral revenues, and
- repaying public debt to improve the external debt position.
- Executive Directors also acknowledged the authorities’ policy of slowing exchange rate depreciation to moderate inflationary pressures.
Major findings
- Low GDP per capita.
- Investment deterrents:
- weak infrastructure,
- problems with governance,
- high crime.
- Fiscal and external position actions:
- bulk of windfall mineral revenues saved,
- public debt repaid to improve external debt position.
- Exchange rate and inflation management:
- policy of slowing exchange rate depreciation to moderate inflationary pressures.
Policy assessments and implications
- Authorities’ saving of windfall mineral revenues is viewed positively by Executive Directors as strengthening the external debt position.
- Repayment of public debt acknowledged as improving external debt metrics.
- Slowing exchange rate depreciation is recognized as a tool used to moderate inflationary pressures.
- Underlying structural constraints—weak infrastructure, governance issues, and high crime—are key barriers to attracting investment and fostering development.
Key statistics and publication metadata
- Pages: 63
- Volume: 2009
- Issue: 112
- Series: Country Report No. 2009/112
- Stock No: 1PNGEA2009001
- DOI: https://doi.org/10.5089/9781451831764.002
- ISBN: 9781451831764
- ISSN: 1934-7685
- Date on landing page: April 3, 2009
- Subjects: Banking, Commodity prices, Environment, Expenditure, External debt, Inflation, Non-renewable resources, Prices, Public debt
- Keywords: authority, collection arrangement, Commodity prices, CR, development spending, GDP, Global, Inflation, ISCR, Non-renewable resources, PNG financial system, policy credibility, terms of trade, windfall revenue
Papua New Guinea: 2008 Article IV Consultation: Staff Report; Public Information Notice on the Executive Board Discussion; and Statement by the Executive Director for Papua New Guinea (April 3, 2009).
Content in this bundle
- _cr09112 - Executive Summary