PNGX encourages foreign businesses to join stock exchange

THE Papua New Guinea National Stock Exchange (PNGX) is encouraging foreign companies doing business in the country to be listed on the national stock exchange, chairman David Lawrence says.
He said this would provide Papua New Guineans more opportunities to have an ownership interest in the country’s wealth.
“Publicly listed companies are significantly under-represented in PNG compared to similar economies and other markets in the region,” Lawrence said.
“This is surprising given the natural resources and wealth of the country.
“We would like to see more foreign companies with commercial activities in PNG listed on PNGX to provide Papua New Guineans with more opportunities to have an ownership interest in the country’s wealth. There are opportunities for a number of State-owned enterprises (SOEs) to be brought to the public market as part of the Government’s plans to reform the SOE sector.
“There are numerous ways in which SOEs could be brought to market to attract foreign investment whilst retaining majority national ownership and giving Papua New Guineans ownership stake in the future.”
He said that the country currently had a lot of unrealised potential and if some areas of taxation were reformed, a new listed property trust sector could be developed to provide opportunities for investors.
“Such a change could stimulate the building industry, which could in turn support small medium enterprises (SMEs) and create more jobs in the economy,” he said.
“We know there is market demand for a listed property trust sector.”
Lawrence said this year had been challenging for the country, businesses and PNGX.
“Notwithstanding these challenges, PNGX has been moving forward with its redevelopment of the PNG market, albeit slower than had been planned.”