Record Revenue, Zero Results: Koim Calls Out PNG’s Money Black Hole
IRC chief Sam Koim says more than K17 billion collected last year has not translated into services because the real problem is poor public spending, not revenue.
Papua New Guinea Internal Revenue Commission (IRC) commissioner-general Sam Koim says major weaknesses in public spending remain the biggest obstacle to improving living standards across the country.
He said despite record tax collections, many communities continued to miss out on essential services that their tax contributions should support.
 |
| Record Revenue, Zero Results: Koim Calls Out PNG’s Money Black Hole |
Koim revealed that more than K17 billion was collected last year, bringing the six-year total to around K80 billion, yet the impact on the ground remained minimal.
“We’re collecting enough revenue. I thought that it was the revenue that was the problem. (But come to find out later) it’s a problem of managing money,” Koim said.
He highlighted that the quality of expenditure remained the central issue, saying funds quickly lost their value when mishandled.
“And sometimes when money, which is something of value, lands in the hands of the people who do not have value, it automatically loses its value,” he said.
Koim said taxpayers contributed with the understanding that government would deliver roads, infrastructure and services that private enterprise could not provide.
He said the cycle of tax and service depended on trust and accountability.
He made the remarks during the signing of an MoU with the Independent Commission Against Corruption (Icac) to strengthen cooperation in tackling tax and financial crimes.
“That’s something that I think Icac needs to come in and hold all those people accountable so that something of value is also translated into value on the ground.”
Icac acting commissioner Thomas Eluh said the partnership between the two agencies would help close systemic gaps that allow corruption to flourish.
“Tax crimes and corruption operate hand-in-hand, and by working together, both Icac and IRC can respond quickly and effectively.”
Also read
Post a Comment