Photo: BSP Group General Manager Corporate Bank, Peter Beswick
“Announcements by investors in Papua New Guinea and the South Pacific has demonstrated a strong international investment intention that will lift economic activities for PNG and the South Pacific in 2022,” says BSP Group General Manager Corporate Bank, Peter Beswick.
The rise in business confidence for the year 2022 is attributed to company investments, mergers and acquisitions in PNG and the South Pacific, according to the BSP Pacific Economic and Marketing Insight for the December Quarter, 2021.
Beswick said: “The mining companies continue to be an attractive investment destination. Growth in the mining industry is estimated to be 5.4%, which reflects the expected recommencement of the Porgera and improvements in OK Tedi production and Wafi Golpu this year, 2022.”
“The merger of Santos with Oil Search and the reopening of the Porgera mine, coupled with the PNG Government commitment to accelerate and support opportunities and development outcomes of Wafi Golpu mine in Morobe Province will deliver significant investments with landowners and local businesses in PNG,” added Mr Beswick.
Telecommunications firms are also looking forward to investment potential in PNG and the Pacific. The Vodafone PNG - Amalgamated Telecom Holdings Ltd, which operates in Fiji, Western Samoa, American Samoa, Kiribati, Cook Island, and Vanuatu, has begun operations as the third mobile provider in PNG, with investments exceeding PGK1.4 billion.
Despite the fact that the pandemic poses a considerable danger to companies, infrastructure and election-related investment in PNG, as well as resource mining and communication initiatives, are expected to give some relief.
Reference: BSP (7 February 2021). “Businesses Confident in Investing in PNG and South Pacific”.
