## Papua New Guinea: Request for Disbursement under the Rapid Credit Facility-Press Release; Staff Report; and Statement by the Executive Director for Papua New Guinea

_IMF Staff Country Reports, June 26, 2020_

## Source details

**Canonical URL:** [Papua New Guinea: Request for Disbursement under the Rapid Credit Facility-Press Release; Staff Report; and Statement by the Executive Director for Papua New Guinea](https://www.imf.org/en/publications/cr/issues/2020/06/26/papua-new-guinea-request-for-disbursement-under-the-rapid-credit-facility-press-release-49536)

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## Bibliographic details
- Published: June 26, 2020
- Series: IMF Staff Country Reports
- DOI: https://doi.org/10.5089/9781513548708.002

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### Summary
- The COVID-19 pandemic erupted just as the government was beginning to implement wide-ranging fiscal, foreign exchange, structural, and governance measures under a Staff-Monitored Program (SMP).
- The authorities have reaffirmed their commitment to these reforms.
- The impact of the crisis is generating balance of payments and fiscal gaps of 4 and 3 percent of GDP, respectively.
- In the near term, risks are primarily on the downside, especially if there is a widespread local outbreak of the virus.
- Papua New Guinea’s longer-term outlook remains positive, largely reflecting the likelihood of major resource sector projects.

### Main themes and findings
- Fiscal and policy context:
  - Government began implementing fiscal, foreign exchange, structural, and governance measures under an SMP prior to the pandemic.
  - Authorities reaffirmed commitment to those reforms despite the crisis.
- Crisis impact:
  - Balance of payments gap: 4 percent of GDP.
  - Fiscal gap: 3 percent of GDP.
- Risks:
  - Near-term risks are primarily on the downside.
  - A widespread local outbreak of COVID-19 would materially increase downside risks.
- Outlook:
  - Longer-term outlook is positive, reflecting the likelihood of major resource sector projects.

### Subjects and keywords
- Subject: COVID-19, Expenditure, External debt, Foreign exchange, Health, Public debt
- Keywords: COVID-19, CR, financial support, Global, government, IMF financing support, IMF lending tracker, ISCR, PNG economy, PNG government, PNG Treasurer

*Source: Papua New Guinea: Request for Disbursement under the Rapid Credit Facility-Press Release; Staff Report; and Statement by the Executive Director for Papua New Guinea (IMF Staff Country Reports 2020, 211).*

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_Source: https://www.imf.org/en/publications/cr/issues/2020/06/26/papua-new-guinea-request-for-disbursement-under-the-rapid-credit-facility-press-release-49536_