Papua New Guinea Customs Service increased revenue collections by 42% year on year to K1.48 billion in the latest reporting quarter, Prime Minister James Marape said, citing continued trade activity despite global economic uncertainties.
Marape announced the results at a Budget Management Committee meeting at Melanesian Haus in Waigani, attended by Finance Minister Thomas Opa, Customs Chief Commissioner David Towe and senior Treasury and Finance officials.
Customs collections are tracking at about 80% of the revised K4.9 billion annual revenue projection under the 2026 Supplementary Budget, Marape said.
The agency registered 32,581 trade entries during the reporting period, involving goods with a combined declared value exceeding K30.31 billion, reflecting the volume of commercial transactions passing through the country's international borders.
“In this reporting period, Customs registered 32,581 trade entries, with goods valued at more than K30.31 billion passing through our borders,” Marape said. He added that the figures indicated continuing economic activity despite international conflicts, commodity price volatility and elevated fuel costs.
Revenue growth continues
The latest results extend a multi-year increase in Customs collections, which rose from about K2.81 billion in 2020 to K3.9 billion in 2023 and approximately K3.93 billion by December 2024.
In 2025, collections reached K4.31 billion as of Dec. 19, exceeding the revised Mid-Year Economic and Fiscal Outlook target of K4.23 billion by K82.35 million. The result represented growth of about 7% from the corresponding period in 2024.
Marape attributed the sustained improvement to stronger revenue administration, compliance enforcement, institutional reforms and investment in modernising Customs operations.
He commended Towe and Customs officers nationwide, saying stronger leadership, improved systems and institutional commitment had contributed to the agency's performance.
Government to upgrade border systems
The government will continue supporting Customs and the Internal Revenue Commission through improvements to information and communications technology, border management systems and cargo inspection facilities, Marape said.
The investments are intended to improve compliance, reduce revenue leakage and facilitate legitimate international trade.
“We are working with Customs and IRC to ensure their systems, ICT capabilities and container examination facilities receive the support they require,” he said.
Marape said Customs played a broader role beyond revenue collection, including facilitating trade, protecting national borders and supporting economic development.
Collections to inform 2027 Budget
The revenue performance will contribute to preparations for the 2027 National Budget, which is scheduled for presentation to Parliament in November, Marape said.
The government is pursuing its Budget Repair Strategy to progressively reduce fiscal deficits and restore balance to public finances. Marape said stronger revenue collections must be accompanied by responsible expenditure management.
The Budget Management Committee will continue monitoring revenue performance, recurrent expenditure, the Public Investment Programme and the implementation of approved development priorities.
The government aims to ensure sufficient funding for essential public services and infrastructure while maintaining economic stability and strengthening domestic revenue generation.
“I have asked Customs and IRC to continue improving efficiency and, wherever possible, maximise collections as we complete the 2026 financial year,” Marape said.
He added that improved revenue collection would strengthen the government's capacity to finance national development and build more sustainable public finances.
