PNG latest to join Alliance

 PAPUA New Guinea has joined an international government alliance whose aim is to make all payments through electronic channels, including for government salaries and social security protection. 

Treasurer Patrick Pruaitch last Thursday announced PNG’s membership to The Better Than Cash Alliance.

Pruaitch and Finance Minister James Marape endorsed PNG’s membership.

He said PNG was the first Pacific nation to join the alliance, committing to leverage electronic payments and increase security, transparency and convenience for its people. 

The organisation is a United Nations alliance of governments, development organisations and companies that were committed to transition to electronic payments as means to achieve goals of empowering people and growing emerging economies.

“We are delighted to join Better Than Cash Alliance to accelerate PNG’s shift to electronic payments, and thereby rapidly advance financial inclusion for all Papua New Guineans. Using digital tools like mobile and branchless banking will help people build savings while giving the Government a more cost-effective, efficient, transparent and safer means of disbursing and collecting payments,” Pruaitch said.  

Bank of Papua New Guinea Governor Loi Bakani welcomed the announcement.

“This is a significant step in our national progress towards financial inclusion, which is one of the Bank of Papua New Guinea’s major objectives,” Bakani said.

“Indeed, the bank has established a dedicated financial inclusion unit whose objective is to promote concrete activities nationwide and to co-ordinate the different initiatives that are under way. 

“In line with the National Payments System Strategy, the Bank of PNG has initiated a number of key programmes, including the Kina Automated Transfer System (KATS). Using KATS, anyone with a bank account can transfer funds completely electronically without having to use cheques or cash. 

Better Than Cash Alliance managing director Dr Ruth Goodwin-Groen said: “We welcome PNG as the newest member of the Better Than Cash Alliance and commend the government’s leadership to continue transitioning away from cash and empowering its people.” 

The alliance has 33 members, including PNG.