Partnership forged to improve rural economic intervention

Two State entities have entered into a partnership to facilitate rural economic intervention programmes.
A memorandum of understanding (MoU) signed between the PNG Investment Promotion Authority (PNGIPA) and the Department of Implementation and Rural Development (DIRD) coincided with the Business Investment Week.
The agreement would see the two agencies working together to create and promote business and employment opportunities for people in local level governments, districts and provinces under the Rural Economic Investment programme. Department secretary Aihi Vaki said the purpose of the agreement was to establish a working relationship between the two organisations to develop and implement economic programmes.
He said the idea was in line with Government plans like the National Medium Term Development Plan (MTDP 3 2018-2022), the PNG Strategic Development Plan (PNGSDP 2010-2030) and the PNG Vision 2050 strategic plan.
Vaki said the new approach was also in line with Prime Minister James Marape’s plans to empower the people. He said his department as the agency focused on rural areas was seen as the appropriate partner for PNGIPA to identify small to medium enterprises and make recommendations to enter into joint ventures and partnership arrangements with investors.
Vaki said the main objective was to identify and facilitate existing rural-based economic projects that could attract investment for districts and provinces through public-private partnership arrangements.
He said the department was responsible for monitoring and reporting on the K10 million district services improvement programme for the provinces and of that, K1mil was allocated to the economic sector to empower and create wealth for the people.
He said with the K1mil annually and K5mil in a parliamentary term, many rural-based economies or SMEs had been developed and through the MoU, DIRD would identify those SMEs that had the potential to expand by encouraging partnership with international investors.
Vaki said in the process, DIRD would vet the companies with recommendations from the District Development Authority and provincial administrations before recommending to PNGIPA to promote the SMEs to investors.
“These makes way to deliver economic programmes based on transparency, accountability, integrity and mutual respect and results for the common good of our people.”
PNG IPA managing director Clarence Hoot said IPA, which is the statutory body established under the Investment Promotion Authority Act 1992, was committed to promoting and facilitating investments in the country.