Bring back funds: Abel


DEPUTY Prime Minister and Treasurer Charles Abel has urged exporters, particularly resource companies, to remit excess funds back to the country.
The Bank of Papua New Guinea intervention into the forex market with US$100 million (K320 million) has been done.
The bank is also conducting a review of all foreign exchange accounts and the obligations of those account-holders particularly the resource companies.
“Im told that the total reserves at the Central Bank is US$1.7 billion (K5.44 billion). This is sufficient to cover for 6.2 months of total import cover and 9.9 months of non-minerals import cover,” Abel said.
“We know that the kina has been relatively stable. This sustained foreign exchange situation is a concern and it continuous despite a large current account surplus situation our country is in.
“Put simply, we are exporting in foreign exchange terms more than we are importing.
“However in terms of the financial and investment side of the account, we continue to realise the shortfall in the market. That is something that I have directed the Central Bank to look into.
“We continue to look at the situation and there were some intervention in the 100-day plan.
“There are some measures in the 2018 Budget particularly around financing and budget support that will bring in a further US$200 million (K640 million) of foreign exchange into the market.”