PNG ups business in Fiji

 PAPUA New Guinea’s total investments in Fiji in the last four years have amounted to F$174 million (K218 million) primarily in tourism, financial services and real estate, according to Investment Fiji CEO Godo Muller-Teut.  

As statutory organisation, Investment Fiji operates independently as the facilitation arm of the Fiji Government, providing services and assistance to promote, and stimulate investments and exports.

Muller-Teut said since 2010 a total 14 investment projects were registered by Papua New Guinea Citizens or companies with Investment Fiji.

This included the Grand Pacific Hotel Ltd (GPH), The Pearl, Bank South Pacific and Handy Finance Ltd among others. Speaking at a recent Fiji Papua New Guinea Business Council conference in Suva, Muller-Teut also noted that total Fijian Investments in PNG projects amounted to $172 million (K215 million) over the past five years

During 2014, Fijian FDI amounted to $25 million, with majority of projects in construction $12.4 million (49 per cent) and wholesale retail at $8.1 million (32 per cent). 

The other sectors were telecommunications $3.4 million and fisheries $1.15 million.

Muller-Teut said Fiji had a democratically elected Government committed to continued reforms and providing a stable political environment that encourages economic growth and investment.

“Fiji has a business friendly tax system that encourages innovation, growth and investment,” he said.

“Fiji welcomes investors with capital; business skills and international connections that can help Fijian companies grow and reach out to the rest of the world.

“Fiji has a real GDP growth of about 4.5 per cent in 2014, and is poised for the 6th straight year of growth with a 2015 forecast of 4.3 per cent.”

In Fiji, 2014 total exports equated to $2.6 billion (K3.25 billion), of which re-exports accounted for $1.36 billion and domestic exports of $1.24 billion (K1.6 billion). 

During 2013 PNG exported $11.6 billion (K14.5 billion) and imported $11.9 billion (K14.9 billion). Primary exports from PNG concerned mineral products whilst imports predominately related to food and beverage related items.

Imports from PNG amounted to $10 million (K12.5 million) last year.

In 2014 the majority of imports from PNG concerned machinery $5.4 million, followed by textiles $1.3 million, prepared foodstuffs at $1.26 million.

In 2014 majority of exports to PNG concerned prepared foodstuffs (38 per cent), vegetable products (22 per cent), chemical/allied products and textiles at 10 per cent respectively.

Food and beverage related exports accounted for $11.9 million or 61 per cent of total exports to PNG.