The US$500 million sovereign bond raising will improve foreign exchange cash flows, according to Robin Fleming, Chief Executive of Bank South Pacific. He tells Business Advantage PNG that it represents an ‘important milestone’ for Papua New Guinea’s financial system.
The success of Papua New Guinea’s first US$500 million bond issue will depend on the government’s spending focus, according to Paul Barker, Director of PNG’s economics research think tank, the Institute of National Affairs. He tells Business Advantage PNG that the private sector has to get access to foreign exchange because of extended delays.
In the second half of his exclusive conversation with Business Advantage PNG’s Andrew Wilkins, the Prime Minister Peter O’Neill says the policies developed at the APEC Leaders meeting will have a lasting impact on the country. He says APEC marks a unique opportunity to market PNG as an investment destination.
Oil and LNG prices are showing strength but cocoa and palm oil prices price have weakened. Business Advantage PNG’s monthly review of Papua New Guinea’s commodity and financial markets.
The Asian Development Bank will start redeveloping the entire Highlands Highway simultaneously rather than doing it in sections, according to David Hill, Country Director for the ADB. He outlined the ADB’s focus on improving both physical and digital connectivity in Papua New Guinea.
Financial analysts Fitch Solutions is forecasting higher economic growth for Papua New Guinea next year. But it says the kina is overvalued, which may pose problems in the future if the the Government’s proposed sovereign bond issue is successful.
Papua New Guinea is raising tariffs at the same time it is hosting APEC, according to Rohan Fox, Stephen Howes and Maholopa Laveil. The ANU researchers say this is at odds with the APEC agenda.
To get investment into Papua New Guinea businesses, sound governance is essential. That was the view expressed by super fund managers, bankers and advisers at Business Advantage’s Investment conference in Brisbane.
The Papua New Guinea government has begun spruiking its sovereign bond issue with a series of meetings with investors in Singapore, Hong Kong, London and the US, led by Treasurer Charles Abel. However, while Standard and Poor’s has given the issue a ‘B’ stable rating, others say the government may have to offer a premium to attract investors.
LNG prices have jumped sharply and the cocoa price has been volatile. Business Advantage PNG’s monthly review of Papua New Guinea commodity and financial markets.