PNG PM Marape boasts of strong economic growth as GDP set to pass K130 billion

Papua New Guinea Prime Minister James Marape has boasted of the country’s strong economic growth, saying PNG’s Gross Domestic Product is expected to surpass K130 billion, marking one of the most robust periods of economic expansion since Independence.

Mr Marape said the growth reflects the progress made over the last two decades, particularly during a period where the country experienced greater political stability compared with the early years following Independence.

 PNG PM Marape boasts of strong economic growth as GDP set to pass K130 billion/File Photo

Economic records indicate that between 1975 and 2002, Papua New Guinea recorded very slow economic expansion, with average annual growth estimated at about 0.3 per cent.

During those 27 years, the country saw frequent leadership changes with six prime ministers and 13 governments formed. On average, administrations lasted just two years and four months, often disrupting policy direction and national development programs.

Mr Marape said the frequent changes in government during that period affected economic performance and slowed development across the country.

“History shows clearly that political instability slowed our economic progress in the early decades of our nationhood,” Prime Minister Marape said.

“When governments change too frequently, policies are interrupted, development plans are delayed, and investor confidence is weakened. Stability is essential for economic growth.”

He said the period from 2002 to 2025 has presented a different picture, with only three prime ministers serving during that time and governments lasting an average of eight years and six months.

Mr Marape said this stability allowed governments to implement policies more consistently and maintain long-term economic planning.

According to national economic estimates from the Department of Treasury and the National Statistical Office, PNG’s economy has expanded across both the resource sector and the non-resource economy, including agriculture, fisheries, construction, small businesses and services.

“Our economy has grown significantly over the last twenty years, and the data confirms that stability in government creates the environment needed for sustained development,” he said.

“The lesson for our nation is clear: when our leaders work together to maintain political stability, our economy grows and our people benefit.”