Polye Questions Loans for Highlands Highway upgrade

PORT MORESBY:With the country’s debt level at over K22 billion, Opposition Leader Don Pomb Polye has queried the K1.5 billion for upgrading of the Highlands highway whether it has already been catered for in 2016 Budget.
“Continuously committing the country with debt is not economically justifiable.
“It is a classical act of someone with no heart for the country’s future,” said Mr Polye.
Mr Polye was commenting on the Prime Minister Peter O’Neill’s announcement of K1.5 billion which was approved by the Asian Development Bank to rebuild the highway.
He said K2.1 billion deficit in 2016 Budget would be financed via overseas loans.
He has challenged the Prime Minister and his economic minister to clarify on the loan whether it was new or already adding to the“K22 billion debt level representing 47 per cent of the country’s Debt to GDP ratio.
“It is alarming for us as a country. We have already breached our Fiscal Responsibility Act which allows for only up to 35 per cent,” said a concerned Polye.