Asian Development Bank
IN 2012, WHILE PAPUA NEW GUINEA maintained its position as one of the fastest growing economies in Asia and the Pacific, the gap between rich and poor has increased.
“Remote and rural communities in PNG remain cut off from economic opportunities due to poor roads and lack of reliable, safe shipping services, as the gap between rich and poor grows wider,” said Xianbin Yao, director general of the Asian Development Bank’s Pacific department.
“Economic growth must be accompanied by a narrowing of inequality to ensure future prosperity in PNG.
Openness to trade will also be a key ingredient in PNG’s future prosperity. By connecting local producers to domestic, regional, and global markets, trade will help fight poverty, boost the economy, raise living standards, and improve access to basic services.
PNG’s private sector has more than doubled over the past seven years, largely due to the combination of sensible monetary and fiscal policies and structural reforms in financial services, telecommunications and aviation to boost business investment and encourage economic diversification.
The recently released 2013 National Budget foreshadows a significant scaling up of funding to priority sectors of health, education, law and order, and infrastructure.
ADB aims to work together with the government to implement its planned infrastructure investments, private sector development, and regional cooperation. ADB is also committed to helping the government deliver rural primary health services.