Government wants SOEs to drive economy

THE Government is looking at making State-Owned Enterprises (SOEs) become drivers of Papua New Guinea’s economy, Treasury Minister Sam Basil says.
Basil in his statement on the state of the economy told parliament that discussions were being held with colleague ministers on how to make SOEs become drivers of economic development and how institutional investors, including Nambawan Super, Nasfund and other Trustees in the country, could be involved.
“I have commenced dialogue with our private sector to see how we can kick-start innovation and investment,” Basil said.
“I have engaged with our multi-lateral and bi-lateral partners to confirm where they fit into our national agenda and I am in discussions with our financial community to ensure that our market is stable, developing and inclusive,” he said.
Basil in explaining the process, said the formulation and administration of national budget process in the Fiscal Responsibility Act 2006 required the presentation of a final budget outcome within three months of the end of the fiscal year.
“This is then followed at this time of the year with the handing down of the Department of Treasury Mid-Year Economic and Fiscal Outlook which effectively gives us our annual half time score on the economy,” Basil said.
“This takes greater significance right now in light of the change in government last month.
“While we are awaiting our end of June results and there may be some variations, I do not expect that the general trends will change too much.
“We will consider the best way to address any changes to the 2019 budget framework within the next few months or a major re-orientation in the 2020 budget.”
He said Prime Minister James Marape had impressed that going forward bringing stability, growth and confidence to the economy was the major focus.
“This context must not be lost, but integrated into the ‘Take PNG Back’ and make it ‘The richest Black Christian Nation on Earth,’ ’ goals.”