Ms. Elizabeth Genia Becomes First Woman Governor of the Bank of Papua New Guinea

In response to the recent devastating riots in Port Moresby, the Marape Rosso Government took swift action by convening a crucial meeting on Wednesday, 17th January. The meeting, chaired by the Deputy Prime Minister, brought together key stakeholders, including the Treasurer, Chief Secretary, Governor of the Bank of Papua New Guinea (BPNG), and Chief Commissioner Customs.

Since the aftermath of the riots, the government initiated discussions with peak business organizations and affected enterprises, including prominent names such as Brian Bell and CPL, seeking insights on how best to provide assistance. Subsequently, a meeting was held at the Treasury today to listen to the proposals put forth by the business community.

Treasurer, Ian  Ling-Stucky highlighted the urgency of the situation, stating, "A key message is that urgent action is needed to protect employees and commence rebuilding." During the discussions, businesses identified several priority areas, with a strong focus on direct financial support. The possibility of issuing a special Treasury Bond, akin to measures taken during the COVID-19 pandemic, was suggested.

Proposals also included adjustments to taxes, such as the removal of Provisional Tax Payments to enhance business cash flows. Additionally, the removal of import excises for restocking destroyed goods and expedited administrative processes for rebuilding approvals were discussed.

Governor of BPNG, Elizabeth Genia, assured that special arrangements were underway to prioritize affected businesses with access to foreign exchange for restocking and rebuilding. A meeting with commercial banks on Monday aims to implement this prioritization process.

The business sector proposed administering any direct financial support through a public-private partnership, similar to existing arrangements in parts of the donor-funded health sector. The Deputy Prime Minister welcomed this suggestion, emphasizing its positive implications. Businesses also indicated that potential insurance payouts, which might take years to secure, could be reimbursed to the government.

Recognizing the urgency of the situation, businesses are already making decisions on retaining staff, rebuilding stocks, and securing sufficient foreign exchange. The government received this message unequivocally.

Post-meeting, peak business bodies and affected enterprises were requested to provide urgent information on their proposals to facilitate cost estimations for future National Executive Council (NEC) submissions.

The Treasurer concluded, "This was a constructive meeting on consultation, listening to the business sector. With the additional information required for costings from the private sector, we will be in a position to respond. Of course, this is being led by the Deputy Prime Minister on the guidance of the Prime Minister, and we will respond in the caring and responsible way that we did during the global COVID-19 pandemic response and the Ukraine-Russian war response on cost-of-living pressures on our struggling families."

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Ms. Elizabeth Genia Becomes First Woman Governor of the Bank of Papua New Guinea