Papua New Guinea Economic Update, January 2021 : Dealing with a Triple Crisis

PAPUA NEW GUINEA ECONOMIC UPDATE Dealing with a Triple Crisis

January 2021

Preface and Acknowledgments

This publication is the sixth in the current series of Papua New Guinea Economic Updates (PNG EU). It has two principal aims. First, it analyzes the key recent developments in Papua New Guinea's economy and places these in a longer-term and global context. Based on these developments and recent policy changes, the PNG EU updates the outlook for the country's economy and the welfare of its citizens. Second, the PNG EU provides an in-depth examination of a selected development issue and evaluates the implications of recent trends and policy reforms in terms of the government's stated development objectives. It is intended for a broad audience, including policy makers, business leaders, and the community of analysts and professionals engaged in Papua New Guinea's evolving economy.

The PNG EU was compiled by the Macroeconomics, Trade and Investment Global Practice, under the guidance of Lars Moller (Practice Manager) and Stefano Mocci (Country Manager). The core economic team comprises Ilyas Sarsenov, John Grinyer, and Rashad Hasanov. The special focus section on institutional capital was prepared by Virginia Horscroft, David Craig, Doug Porter, George Bopi, Nao Badu, Kerenssa Kay, Donna Andrews, Andrew Ragatz, Ryoko Tomita, Kenglin Lai, Aneesa Arur, Rochelle Eng, Alan Cairns, Matthew Dornan, Eric Blackburn, Noroarisoa Rabefaniraka, Satoshi Ogita, Hedwig Kembek, Allan Tobalbal Oliver, Viet Anh Nguyen, Vishesh Agarwal, and Boer Xia. The team would like to acknowledge contributions provided by Ekaterine Vashakmadze, Maham Faisal Khan, Katia D'Hulster, and Wilfred Lus. Michelle Lee and Rachel Leka provided administrative support. Bronwen Brown edited the text. Dissemination is organized by Tom Perry, Hamish Wyatt, Ruth Moiam, and Helen Wagambie.

The team is grateful to the Bank of Papua New Guinea, the Department of Treasury, the Internal Revenue Commission, the Village Courts and Land Mediation Secretariat of the Department of Justice and Attorney General, the Department of Education, the National Department of Health, and the Department of Works and Implementation for their collaboration in the development of this report. The team would like to express appreciation for feedback from Paul Vallely, Fily Sissoko, David Gould, Shilpa Pradhan, Jane Sprouster, Ekaterine Vashakmadze, Ergys Islamaj, Duong Le, Deborah Isser, and Vera Kehayova.

This report is a product of the staff of the International Bank for Reconstruction and Development/The World Bank. The findings, interpretations, and conclusions expressed in this report do not necessarily reflect the views of the Executive Directors of the World Bank or the governments they represent. The World Bank does not guarantee the accuracy of the data included in this work. The boundaries, colors, denominations, and other information shown on any map in this work do not imply any judgment on the part of the World Bank concerning the legal status of any territory or the endorsement or acceptance of such boundaries.

Cover design is by Félix Genêt Laframboise. Cover photographs are by Rachel Gunn, Jeremy Mark, and Elodie Van Lierde. Chapter photographs are by Parrotfish Journey, EMTV Online, The Road Provides, Ian Geraint Jones, David Craig. All rights reserved.

To be included on an email distribution list for this Economic Update series and related publications, please contact Ruth Moiam:[e-mail]. For questions and comments relating to this publication, please contact Ilyas Sarsenov:[e-mail]. For information about the World Bank and its activities in Papua New Guinea, please visitwww.worldbank.org/png.