How can economy grow if we incur huge debts?

Letters, Normal

The National, Thursday 13th September, 2012

PNG is likely to face a major financial crisis if the government continues its spending spree.
A government’s ability to spend must be balanced with its ability to generate income.
It is uncomfortable to hear from the prime minister that the economy is growing when we are incurring a huge debt.
I challenge him to provide favourable socio-economic indicators to ensure that the benefits
of the growth trickle down to the 89 districts.
The government has not explained to the nation how it
is going to finance its budget deficits and financial debts.
The much trumpeted and ex­pensive free education policy is short-sighted and will generate adverse effects if not sustained.
The government must take drastic actions to reduce expenditure, such as lowering redundant costs by downsizing some of the bureaucratic systems in the public service.
Shift or divert funds from less important and ineffective departments to sustainable sectors such as agriculture and tourism.
It is time the government builds capacity at the district le­vel and makes funding available
to improve the rural community.

Michael Drake K. Kaiabe