Cash relief deals

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James Marape

By GYNNIE KERO
THE Government has approached the commercial banks and superannuation funds to assist those currently facing financial hardship related to the State of Emergency.
Prime Minister James Marape said commercial banks were expected to give a three-month buffer to customers who took out loans.
Superannuation funds have been asked to allow members recently laid off from work to access their savings.
“We will be working with the commercial banks to provide short-term relief to borrowers (affected by) the immediate impact of the current global crisis,” he said.
He thanked the commercial banks and superfunds for the “positive meeting with me and the Central Bank governor”.
“They have shown that they are true corporate citizens during this downtime,” he said.
He said the banks had indicated that they would give “three months or so” to defer loan repayments for individuals, small and medium enterprises, and businesses.
“We are also working with the superfunds to take care of families whose breadwinners had been laid off,” he said.
“We know many in the private sector had laid off employees. So the superfunds have been asked to ensure that their savings are given to them, at least their personal savings.”
Marape also announced a number of measures to be taken to cushion the impact of the crisis on the national economy.
“Borders have closed. Movement of goods and people have been constrained. Economic activity has slowed,” he said.
The measures include:

  • a downward revision of the 2020 budget to reflect the changing and evolving economic circumstances that we face;
  • a review on tax and non-tax revenue projections;
  • the deferral to next year of some projects including the rollout of the national identification programme (NID) and the national census.

On the monetary policy, there will be:

  • a review of cash reserve requirements to increase total liquidity;
  • a review of the Kina Facility Rate to cushion upward pressure on interest rates;
  • a review of foreign exchange controls over currency trading by banks to prevent overpricing of currencies.

6 comments

  • Do likewise to our NCSL savings (General Savings) which are not yet reach its eligibility for withdrawal, with the same approach transfer our savings to our Poro Account so we can do early withdraw as well.
    Most of us we rely on informal spin of business like markets and selling of other basic items which our wife and mothers do at home (table market etc) regularly to ensure our basic needs acquired on daily basis. This form of income really help keep us going which we cannot afford it at one stage and wait till payday. This has now come to a complete stop due to total lockdown set up by the government for this covid19 from breakout. This has really affecting us from affording our basic needs we need at least something to be on the table every afternoon when we gets back home from work.

    Thank you Government and Superannuation plus those stakeholders for putting hands together for taking this initiative forward to make this possible for those unfortunate ones and even everyone of us affected in this critical period of covid19.

  • James Marape is the real son of this land who really considers the livelihood of every PNGans and that is the way forward. He is the PM who really has the heart of people in him. We really need that kind of Prime Minister to run the affairs of the country. I believe that he will be the best PM in the next coming election if Tari-Pori gives him the second chance. People, we have been lost for far too long and this is the time where a true son of this land is rising.

  • Prime Minister Marape,
    Thank you for protecting your people by closing our borders. Latest news received shows that countries around PNG, including Indonesia, Australia, Philippines and Fiji are experiencing exponential increases of COVID-19.
    God bless PNG.

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