## Growth and Productivity in Papua New Guinea

_IMF Working Papers, May 1, 2006_

## Source details

**Canonical URL:** [Growth and Productivity in Papua New Guinea](https://www.imf.org/en/publications/wp/issues/2016/12/31/growth-and-productivity-in-papua-new-guinea-19013)

## Other formats

- [Markdown version](/en/publications/wp/issues/2016/12/31/growth-and-productivity-in-papua-new-guinea-19013/index.md)
- [Structured JSON version](/en/publications/wp/issues/2016/12/31/growth-and-productivity-in-papua-new-guinea-19013/index.json)
- [Bundle manifest](/en/publications/wp/issues/2016/12/31/growth-and-productivity-in-papua-new-guinea-19013/bundle-manifest.json)

## Bibliographic details
- Authors: Ebrima A Faal
- Published: May 1, 2006
- Series: IMF Working Papers
- DOI: https://doi.org/10.5089/9781451863734.001

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### Summary and main findings
- The paper examines Papua New Guinea's historical economic growth patterns through a simple growth accounting framework.
- Swings in growth are mostly accounted for by:
  - a significant slowdown in capital input; and
  - lower Total Factor Productivity (TFP) growth.
- Raising real GDP growth will require increases in both investment levels and productivity.
- With a ratio of investment to GDP of 13 percent during the last decade, significantly higher productivity growth and investment will be needed to sustain GDP growth rates at 5 percent or higher.
- Historical performance indicates that, in the absence of structural reforms and strong institutions, higher rates of productivity growth will be hard to achieve.

### Policy implications and analysis
- Achieving and sustaining higher real GDP growth implies simultaneous policy focus on:
  - raising the investment-to-GDP ratio above the historical 13 percent; and
  - implementing structural reforms to boost TFP growth.
- Strengthening institutions is highlighted as necessary to enable higher productivity growth.

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## Content in this bundle

- **Growth and Productivity in Papua New Guinea; Ebrima Faal; IMF Working Paper 06/113; May 1, 2006**
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  - [Growth and Productivity in Papua New Guinea; Ebrima Faal; IMF Working Paper 06/113; May 1, 2006 (PDF)](/-/media/websites/imf/imported-full-text-pdf/external/pubs/ft/wp/2006/_wp06113.pdf){rel="external" type="application/pdf"}

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_Source: https://www.imf.org/en/publications/wp/issues/2016/12/31/growth-and-productivity-in-papua-new-guinea-19013_