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by SOLOMON
KANTHA
What does the future hold for PNG?
SINCE independence 31 years ago, we
continue to face a development conundrum of translating the wealth
of our natural resources into tangible development outcomes.
The impoverished state of the country falls short of reflecting
our immense natural resources. This has over the years begged the
fundamental development question of “why is PNG so rich yet so
poor?”
The question underlies one of the major development paradoxes that
is faced not only by PNG but also other natural resource-rich
countries in Africa, the Middle East and Latin America.
This phenomenon has been referred to as the “resource curse” or
the “paradox of the plenty”.
It is a conventional belief that countries with rich natural
resources should be economically well-off with higher rates of
economic growth than those that are without.
However, experiences of most natural resource-rich countries
around the world have negated this logic.
Although there are more complex economic explanations to this
phenomenon, in PNG’s case this dilemma may be attributed to three
key factors.
First is the country’s stage of development which goes back to our
colonial history where there was no investment by the colonial
administration prior to independence in developing the necessary
administrative and political institutions as well as the human
resource expertise that was essential to take the country forward
after independence.
The period after independence saw a flurry of political novices
and public office holders, most of whom knew little about the
offices they occupy and the role of these institutions.
That is not to say that some have performed with exemplary skill
and grace during their tenure.
This event in our history has compelled many to ask whether our
independence was too soon.
Second, the conflict between the traditional and modern
institutions and practices significantly impacts on the behaviour
of political decision makers.
This consequently impinges on the nature of domestic political and
economic policies and practices. Changes in domestic policies have
had a significant impact on the country’s development trajectory.
The divergent nature of the country as comprising different ethnic
groups has also fostered competition for the limited resources in
the national coffers.
More so, regional and ethnic-based considerations for public
office appointments have frequently resulted in many unqualified
and inexperienced appointees.
Votes of no-confidence have also led to frequent changes in the
government distorting the continuity of public policies.
It is a norm in PNG politics that whenever there is a new
government, there are also new departmental heads and new policies
without a continuation of what has been initiated by previous
governments.
This detrimental political cycle has been a major hurdle to growth
and development.
Third is the process of globalisation which has brought about new
opportunities and challenges.
Globalisation has led to the proliferation of non-state actors
such as multinational corporations (MNCs) and transnational
corporations (TNCs) supplanting national boundaries and exploiting
natural resource-rich countries.
MNCs and TNCs have also had a tremendous influence on the domestic
policies of developing countries. They have also caused
irreparable environmental destruction and conflicts related to
natural resources.
The Bougainville secessionist crisis and the Ok Tedi landowners’
environmental lawsuit against BHP Billiton are manifestations of
the impact of MNCs in developing countries.
It sometimes baffles me just contemplating how we can transform
PNG from a developing to a developed country by virtue of our
natural resource endowments.
By “developed”, I do not mean having skyscrapers everywhere,
five-star hotels, railways, a navy fleet, jet fighters, a space
station, and Starbucks and McDonalds at every corner of the
street.
Rather, I mean an improved standard of living, access to the best
and affordable education system and health services, well
maintained road network connecting remote places, well-equipped
security forces to maintain law and order and monitor our borders,
accessibility to information technology such as the internet and
telecommunications system linking even the remotest part of the
country to the world, an abundance of job opportunities and an
educated and healthy population.
All these cannot be realised unless we have a vision.
Successful countries are those that have leaders with visions and
the commitment and drive to achieve their dreams.
I wonder whether any of us have ever envisioned PNG in the next
100 years.
I recall an occasion in July last year when I was observing a
congressional hearing at Capitol Hill in Washington DC.
The hearing was about the progress of the development of renewable
energy sources in certain states in the US when fossil fuels are
depleted.
What struck me most was the amazing level of futuristic thinking
that ensued in the hearing and the alternatives that were being
considered when the earth’s fossil fuels are being depleted in
perhaps the next 100 years time.
Reminiscing that occasion compels me to ask similar questions
concerning PNG.
Have we planned on making investments for future projects that
would sustain our economy when all our natural resources have been
depleted?
What policies do we require to benefit fully from our natural
resource wealth?
Do we have any aspirations of becoming an economic power in the
region given our natural resource endowments?
Countries such as the United Arab Emirates have already invested
heavily into magnificent tourism infrastructure to sustain their
economy when oil has been depleted in their region.
We have to be more inquisitive as to why we are confronted with
this development conundrum, what factors that are inhibiting
progressive economic development and how we can address this
dilemma by coming up with practical endogenous solutions.
It is time that we must have a vision for PNG and implement
policies that would reverse the sluggish economic trend.
If our politics is the major deterrence in realising our goals,
then let us review our political system and make adjustments so
that it does not hold us back and work against us by enriching a
few and marginalising the rest.
Most of the answers to our predicament lie internally and sure
enough it will also require remedies that we ourselves should come
up with.
If the Judgment Day does not befall us and if the rising sea level
as a result of global warming will take another millennia to
eventually take its toll, giving us ample time to enjoy life on
this planet, what is PNG’s vision or the kind of society that we
want to have in the next hundred years?
It is indisputable that PNG has the capability of becoming the
first black developed nation by virtue of our natural resource
endowments but it will have to take visionaries who act today for
it to happen tomorrow.
We should be planning and investing on having nationally-owned
mineral resource extractive companies or PNG-owned multinational
companies.
This will be a crucial step towards gaining more economic leverage
and benefiting fully from our resources before they are siphoned
offshore.
The dream of becoming a developed nation might not eventuate in
our lifetime but it will be something that our future generations
will enjoy and benefit from if we plan ahead now.
What lies beyond the future for PNG? It would be something for our
political leaders to ponder.
There is a saying that “politicians think about the next election
and statesmen think of the next generation”. We need more of the
latter.
Note: The writer is doing his Masters in
Political Science at the University of Hawaii in Honolulu.
 
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