K224 million cut from budget

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A TOTAL of K224 million was cut from the provincial and district service improvement programme funding in the 2019 Supplementary Budget.
Treasurer Ian Ling-Stuckey, pictured, warned governors, MPs and ward councillors to brace themselves for the cuts.
“I know these cuts are painful,” he said.
But Ialibu-Pangia MP and former prime minister Peter O’Neill said the cuts were “unnecessary”.
The total cut to the capital investment programme was K1.08 billion. There is also a reduction to the ward service improvement programme of about K62 million.
There are 6385 wards in the country which normally receive K10,000 each.
The Department of National Planning and Monitoring had its budget cut by K104.7 million, and the Provincial and Local Level Government Affairs department by K56 million. The Education budget was reduced by K65.4 million, affecting rehabilitation and infrastructure programmes. The Health budget was reduced by K52.1 million, which would affect the hospital management services programmes such as the redevelopment and rehabilitation for hospitals. Community Development and Religion got cut by K14.9m, and the PNG church Partnership programme by K9 million.
The Agriculture budget was reduced by K4.2 million.
The three disciplined forces were also affected – Correctional Services by K17.6m, Police by K19.6m, and Defence by K16.6m.
The National Development Bank appropriation for SME funding for (agriculture and non-agriculture) activities was slashed by K86m.
The appropriation for the Transport sector was cut by K30.5 million, Finance by K18.7m, Customs by K14m and the PM and NEC by K8.7m.

10 comments

  • It is painful but that’s the way to go forward to bring back our economy on track for our future generation.
    Well done Treasurer, we won’t die of telling the truth on the state of our economic.
    We have seen the truth and will feel the consequences created by the previous governments’ mismanagement.
    Thank you PM Marape and team of MPs in forming this government, otherwise we will continue with the spending spree attitude in the name of infrastructure.

  • That’s painful but not at all. At last we are happy. Just causing impingements on paper farmers earning living on false pretends. We tax payers are ok we earn our living from our own hard work. But take those accountable and make them suffer even more beyond that will realized that the world is not meant for the expectations of manna from the cloud. Holim graun na moni kamap. Salute you PM and the ministers responsible.

  • Take back PNG from our own people before we point fingers at outsiders.Time to manage our money properly.Lets stop the blame game work together.Don’t hold the ball for too long spread it around and move forward.

  • These expenditure cut is well coming news to ordinary tax payers. Why because we must live within our means and not pretend as if we are ok. Lets be true to our state of economy.

    Thank You PMJM and minister Ian Ling Stucky

  • I feel the ordinary Papua New Guinean won’t have any effect from the cuts. Being the reason that, such huge amount of money has be dished out by the so called head of departments, the bosses etc within the organization through white collar crime. Such huge amount of money has be drained out by few individuals including the politicians in the name of service delivery.

  • This is a right move by the current government and we salute you all.I as an employee of the very Government pay a tax rate of K681.86 per fortnight.In addition to this I suggets that the government should collect a K1.00 per head for the 8million plus population from the PSIP AND DSIP inorder to get back PNG.We cannot sit back relax and expect the Government to get mana from Heaven to feed the hungry 8 million plus PNGANs.

  • There are so much wastage and inefficiency in the government system that needs to be addressed to the core. This govt needs to tear apart and audit the money trail to the recipient of the money, ie, the service provider or the employee. No matter how big we cut spending, or how massive our budget, the underlying conditions remains to suck life out of our budget. Let streamline the processes so we get value from our budget.

  • Painful but maybe gain in the long run. Lets not cut at the expense of people but savings must benefit the people of this nation. Budget is not reaching the remote Komovai village in Kaviananga in Middle Fly District. Budget cut and expense are only evident in POM. Hopefully the Take Back PNG policies are in place to trickle development into village level, something Komavai people have yet to see government presence in their area since independence.

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