PAPUA New Guinea’s 2017 budget, which was brought down today in Port Moresby, was a key opportunity to demonstrate the credibility of the O'Neill government’s economic management before next year’s election. It fails.
Foolish games with numbers and unrealistic assumptions severely undermine the budget’s credibility. Indeed, the level of deception arguably approaches fraud.
This preliminary assessment of the budget documents will be updated over the next few days. Hopefully I will find more good in the detail.
The biggest winners from the budget are overseas petroleum shareholders with proposed cuts in the company tax rate from 45-50% to 30%.