Politics
The Good News, According to Sir Michael
‘We may be down but not out’
Papua New Guinea continues to flinch under the lash of customary bad publicity since the general election last August that put the country’s first Prime Minister, Sir Michael Somare, back in power after an absence from office since 1985.
Locally and internationally, there has been a normal steady cascade of stories of crime, violence, an army mutiny, corruption, collapsing investment confidence, the decline of mining revenues and exploration, the massive descent of the value of its currency, the Kina, and mounting HIV-AIDS disaster, and a host of other misfortunes that keep Papua New Guineans on their toes and the country’s small tourist industry in despair.
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At Brisbane in February, addressing the Papua New Guinea/Australia Business Council, Somare beat the drum for Papua New Guinea hoping to repair the confidence of foreign businessmen who do business in the country, or who might be persuaded to do so.
“Papua New Guinea may be down but not out. We are rebounding to a better future,” he declared.
“I want to assure you that the images often conjured up on television screens and on newspaper editorials in Australia, or presented for example, by taxi drivers, which portray a land to the north where no-one is safe, corruption is universal, factionalism reigns and natural resources destroyed, is not what Papua New Guinea is all about.”
He felt “the negative publicity which seems to have become prevalent in parts of the Australian community belies the truth”
Somare claimed his new government has rescued Papua New Guinea from “fiscal disaster” caused by “unplanned and extravagant spending” by the electorally ousted government of Sir Mekere Morauta, a widely admired former central bank governor who in the view of many commentators was the country’s last hope of regaining stability.
Somare said with “a line-up of dynamic ministers, both young and experienced, who are determined to make necessary reforms stick”, his government was beginning to regain the confidence of businessmen.
“Mining and petroleum investment is picking up, he said, while the development of the Ramu nickel mine in Madang will recommence after the dispute between Oil Search and Highlands Pacific has been settled.
“The kina has stabilised after a shaky ending in December last year when it crashed to about 19 US cents. Now, it has stabilised against both the US and Australian dollars, at 24 and 41 cents respectively.
“PNG’s economy is unusual in that it has sustained a consistently positive balance of trade, running around 3000 million Kina in recent years, and a positive overall current account,” Somare said.
Somare said his government has re-established a Parliamentary Public Accounts Committee, with a strong mandate to watch government bodies.
Other watchdogs like the Ombudsman Commission are already stamping out corruption, which, Somare admitted while not at the “insidious level prevalent in parts of Africa and South America, has been eating at the very fabric of our institutions and undermining the prospects for social and economic development.”
Legislation for a long-planned Independent Anti-Corruption Commission would be tabled in Parliament for its second and subsequent readings, and legislation to protect whistleblowers passed.
Other goods news presented by Somare:
- A consortium led by Exxon is close to securing additional initial buyers for PNG gas.
- Construction of the country’s first oil refinery is underway near Port Moresby. Half its products will be sold locally and half exported.
- The first fish cannery is running successfully at Madang and two new tuna loineries have opened at Wewak and Lae.
- Trout farming is underway and investment in prawn farming is expected.
“I will conclude with tourism,” Somare said. “Those who visit PNG, whether for diving, walking, wildlife-watching or in search of culture are always amazed, and many fall in love with the place and return for many repeat visits.
“Those from Australia, who have plucked up the courage despite all the negative reports, are often the most amazed. They say “how come we didn’t know about this place before, with all its beauty, richness and friendliness of its people?”
“How indeed? Papua New Guinea has its store of challenges, as have all developing and even wealthy nations. Please do not write us off, but rather provide your support.”
That, in February, was the good news about Papua New Guinea from it latest, and first, Prime Minister, Sir Michael Somare.
