Papua New Guinea

PSDI is working with the Government of Papua New Guinea to help make PNG a safer, more productive, easier, and more inclusive place to do business.

PSDI is working with the Government of Papua New Guinea to:

  • Increase the availability of private sector credit by supporting the utilization of the secured transactions framework established in 2015, and advising on the introduction of alternative capital-raising platforms;

  • Promote entrepreneurship and foreign direct investment, particularly through providing ongoing assistance and advice to PNG’s Investment Promotion Authority;

  • Improve the efficiency and transparency of state-owned enterprises, by enabling public-private partnership transactions, developing a Community Service Obligation Policy for SOEs, and including PNG in PSDI’s Finding Balance SOE benchmarking studies;

  • Develop the technical and cross-cutting capacity of PNG’s Independent Consumer and Competition Commission;

  • Increase access to finance and financial services, by supporting the development of MiCash (a mobile phone linked bank account) and funding the design of the Microfinance Expansion Project (MEP); and

  • Remove barriers to women’s participation in the formal economy through pilot initiatives helping businesswomen enter the formal economy and helping women professionals reach leadership positions.

Resources and Spending

PSDI’s activities in Papua New Guinea (PNG) have rapidly expanded since 2015 due to an additional $8.08 million in funding provided for Phase III by the Government of Australia. Similar additional funding for PNG has been again committed by the Government of Australia for PSDI Phase IV. These funds are being used to support expanded requests from the Government of Papua New Guinea to improve the enabling business environment across all of PSDI’s work areas: financing growth, business law reform, competition and consumer protection, further support for reforming state-owned enterprises (SOEs), implementing the public-private partnership (PPP) framework, and mainstreaming economic empowerment of women into PSDI projects.

A PSDI coordinator has been based at the Asian Development Bank’s (ADB) Papua New Guinea Resident Mission since January 2010. The expansion of PSDI’s program in PNG has necessitated the engagement of an additional coordinator since November 2016. The coordinators promote effective private sector development policies and practices through dialogue with the government and other stakeholders and support the implementation of PSDI initiatives.

PNG2007 2019 web

On this website, $ refers to US dollars unless otherwise stated.

For detailed information on PSDI activities in Papua new Guinea, download the April 2020 PSDI Country Overview here.

Papua New Guinea at a glance

Secured transactions framework

PNG's PSDI-supported Personal Property Securities Registry was activated in May 2016, making it easier for lenders to extend credit secured against movable assets, such as vehicles, inventories, or sales contracts.

27,000 securities registered

As of end-2019, more than 27,000 security interests over movable assets to be used as collateral for loans have been registered in the Papua New Guinea using the PSDI-supported secured transactions framework.

Agricultural Value Chain Loan

launched by MiBank, with PSDI support, in May 2019. Its initial application is for cocoa financing in East New Britain, and other applications are being assessed.

Consumer and Competition Framework

review completed, and ongoing support provided to the Independent Consumer and Competition Commission.

Private sector assessment

Building a Dynamic Pacific Economy: Strengthening the Private Sector in Papua New Guinea, published in April 2015

Public-Private Partnerships Act

gazetted in January 2018, enabled the creation of a PPP program and requires PPP transactions to be developed transparently and predictably.
Latest News
6 April 2022
Promote company 'treasures' to boost women in PNG business leadership—PSDI Leadership Matters panel

PSDI’s ground-breaking Leadership Matters study on women in Pacific business leadership has been discussed in a PNG roundtable event involving Dame Meg Taylor.

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9 March 2022
Director Selection Processes Critical to SOE performance—PSDI

Pacific governments can ensure the best outcomes for their state-owned enterprises (SOEs) by reducing political influence in the director selection process and hiring candidates with the knowledge, skills, and experience needed to address the SOE’s challenges, according to a new PSDI policy brief.

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4 March 2022
ADB Welcomes PPP Legislation for Improving Service Delivery in PNG

The Asian Development Bank has welcomed the passing of the Public-Private Partnership (Amendment) Act in Papua New Guinea, which will increase private sector investment and participation in essential infrastructure and improve service delivery.

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24 February 2022
ADB Welcomes Legislation to Enable Business Activity in PNG

The Asian Development Bank has welcomed the passing of legislative amendments to enable Papua New Guinea to modernize its business registry and boost business activity.

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1 December 2021
ADB welcomes new legislation to improve SOEs in PNG

The Asian Development Bank has welcomed the publication of the Kumul Consolidated Holdings Authorisation (Amendment) Act 2021 in Papua New Guinea’s National Gazette, a key step in efforts to reform state-owned enterprise governance.

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1 October 2021
Papua New Guinea’s National Executive Council endorses legislation to promote private sector involvement in infrastructure service delivery

Papua New Guinea’s National Executive Council has endorsed the PSDI-supported Public-Private Partnership (PPP) Amendment Bill and Regulations.

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Key Publications
PSDI Infographic Brochure 2022
PSDI Infographic Brochure 2022
This infographic brochure illustrates PSDI’s overall work and key achievements.
State-Owned Enterprises: Board Nomination Practices in the Pacific
State-Owned Enterprises: Board Nomination Practices in the P...
This policy brief challenges policymakers to consider a transparent and objective board nomination process as critical to an SOE’s prospects of achieving its commercial and operational goals.
Economic Empowerment of Women 2022
Economic Empowerment of Women 2022
This infographic brochure illustrates PSDI’s work and key achievements in its Economic Empowerment of Women focus area.
Papua New Guinea | Pacific Tourism Sector Snapshot
Papua New Guinea | Pacific Tourism Sector Snapshot
This tourism sector snapshot for Papua New Guinea provides an overview of the tourism sector before the COVID-19 pandemic and identifies new and existing challenges and opportunities for the tourism industry.
Looking Forward Vol. 1: Evaluating the Challenges for Pacific Tourism after COVID-19
Looking Forward Vol. 1: Evaluating the Challenges for Pacifi...
This PSDI tourism sector assessment provides an overview of Pacific tourism before the COVID-19 pandemic, identifies challenges, and provides recommendations for a sustainable post-pandemic recovery.
Leadership Matters: Benchmarking Women's Business Leadership in the Pacific
Leadership Matters: Benchmarking Women's Business Leadership...
Leadership Matters: Benchmarking Women in Business Leadership in the Pacific collects and analyzes data on women’s representation on boards and in senior management in the 14 Pacific developing member countries of the Asian Development Bank.