WHEN Prime Minister James Marape took office last year, concerns were raised for a thorough independent audit tests into the modus operandi of the Bank of PNG.
This has not been looked into yet.
If PNG is planning to be an emerging economy, what are the necessary reforms needed on monetary and the exchange rate policies?
Serious questions needed to be asked whether the central bank had served its intended purpose or not.
The ceilings set on liquid asset ratio on commercial banks is directly penalising small depositors of earning zero interest while paying 29 per cent interest on personal loans.
In the 1980s, deposits were at 12 per cent per annum and this time around it’s below 3 per cent.
Where did the Central Bank go wrong?