Capital budget is K5bil

THE Capital investment budget makes up about 32 per cent or K5.98 billion of the total 2020 National Budget of K18.726 billion.
National Planning and Monitoring Minister Sam Basil said it was framed around a growing appreciation that capital investment budget was the plan to sustainably grow the economy.
Delivering his budget presentation yesterday, Basil said the Government considered the importance and challenge of securing funding annually to ensure progressive growth and the important need to share benefits equitably and, or, strategically to realise the direction the Government had set with their vision and plans.
“With the theme ‘securing our future through inclusive sustainable economic growth’ we are confident that through the process we have undertaken to prepare the capital investment budget, we are reaching out to all wards, districts and provinces.
“And strategically setting the critical foundations of taking back PNG,” Basil said.
“As we head into 2020, the key rationale for the 2020 capital investment budget is to ensure that we connect Papua New Guinea, that we are growing the economy and creating opportunities for our citizens. We are giving high prioritisation to some of our most neglected sectors over the years that are fundamental to growing the economy such as agriculture, tourism and micro, small-to-medium enterprises and accelerating our efforts in innovative approaches that should boost the strength of every province through strategic special economic zones.”
Basil said the aggregate capital investment budget, which showed an 8 per cent increase of K483.40 million compared with the 2019 original appropriation of K5.49 billion.
The 2020 capital investment budget comprises the Government’s direct financing of K3.68 billion and development partner support of concessional loan funds of K1.36 billion and grants of K932.10 million.
Meanwhile, Basil noted that PNG was due for its next national census next year.
“The Government has allocated K100 million for this major activity in 2020 where K50 million is funded under capital investment budget.
“The other K50 million is captured under the operational budget.”