PNG Government hopes to set up proper SWF structure before general elections

The Papua New Guinea Prime Minister James Marape has told the Commission of Inquiry into the Union Bank of Switzerland loan that his Government while hoping to set up the Sovereign Wealth Fund before he goes into elections in two months time, does not want to rush the process.

Mr. Marape in response to questions from Commissioner Dr. James Renwick, regarding a rough estimate of when the SWF can be set up with board directors and trustees, admitted that while it has been slow in setting up - it's a big step for the country and he wants the structure to be sound and correct to withstand whatever tests.

''Dr Renwick it's not just easy for me to pick up any person in and around PNG to get it up, we just want to set up a solid structure of the Sovereign Fund that whenever it is up and running, the key date will be the time when my cabinet made a policy decision and I think we made it in 2020, for 7% of any Kumul Petroleum dividends will flow into that basket.

''For me, I just have to give deep serious thoughts to it and Kumul and Treasury and the whole of government has been working on it. 

''It has been rather slow, but as I said the reason is that we want to get it correct instead of rushing it and setting up a structure that can be abused later on into the picture'' said Marape.     

Mr. Marape also told the Inquiry that, the distribution of 7 per cent of dividends from the PNG LNG project to the SWF from Kumul Petroleum will be made for the years 2021 and 2022 once the structure is in place.

Source: NBC News /One PNG News

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