Firms worry over forex shortage

BUSINESSES are expecting the easing of the foreign exchange shortage by the Government when the supplementary budget is tabled in parliament in its session beginning today.
Bank South Pacific chief executive Robin Fleming said this would be in terms of the planned injection of more than K300 million foreign exchange to ease the issue.
“There will also be an expectation from business that the supplementary budget will provide more detail on the timing of the US$100 million (K319 million) foreign exchange intervention that was indicated in the 100-day plan” Fleming said.
“Additionally, if possible some indication of timing of any foretold drawdowns of the Swiss company Credit Suisse loan as well as Asian Development Bank or World Bank liquidity support packages would provide some comfort to the business community.
“Business would welcome ongoing dialogue with all sectors of the business community in the lead up to the 2018 budget.
“There has been good interaction with businesses during the post-election period and such discussions not only provide business with a forum to share their specific concerns but also allow businesses to obtain some insights into the Government’s fiscal strategy.”
Port Moresby Chamber of Commerce and Industry acting president Rio Fiocco had similar views of greater cooperation between business and the Government.
“The private sector is happy that the new treasurer is consulting with the various chambers of commerce, manufacturers, mine and other peak industry bodies to hear the concerns of our members” Fiocco said.
“These are challenging economic times and we need to work together to come up with solutions that are not just the Government’s problems but those that affect businesses.”