The National, Thursday March 13th, 2014
IN 2011, the government received 16% of its revenue from Ok Tedi Mine and in 2014, it will receive nothing.
The 2014 budget is 13.8% higher than in 2013 and the government has already planned a very high deficit; 5.9% of gross national product.
The collapse of revenue from Ok Tedi leads to a triple worry.
First is the collapse of government income; second is the failure of the government to make any statement on the collapse; and, third is its failure to plan or announce ways to handle this issue.
The government needs to tell the people, MPs and government employees how it will manage this huge deficit.
The government needs to say if this deficit will impact the following:
- Delivery of services and charges for those services;
- Recruitment of workers; and,
- Disbursement of promised revenues to districts, electorates and local-level governments.
Failure of the government to address these financial issues is a risk to PNG’s future.
Quinette, Via email