The National Maritime Safety Authority (NMSA) of Papua New Guinea has further improved the country’s oil spill response capabilities.  February saw senior representatives from key maritime stakeholders attend Level 3 Oil Spill Response Training in Port Moresby.  The training comes on the back of the country’s first National Spill Response Exercise held last November.

The NMSA is the lead agency for coordinating the response to spills of oils and other pollutants in PNG’s waters.  The Level 3 training it recently coordinated was conducted by Oil Spill Response Ltd, a Singapore-based industry-funded cooperative that provides preparedness, response, and intervention services to members such as the NMSA.

Stakeholders represented at the training were relevant government entities, including the PNG Defence Force and PNG Ports Corporation, businesses such as Puma Energy, Pacific Towing, and AES, as well as Pacific Maritime College and the PNG Conservation & Environment Protection Agency (CEPA).  Several of these organisations, including marine services and towage company Pacific Towing, also played significant roles in the 2022 National Spill Response Exercise – an emergency response simulation training drill conducted in Port Moresby’s Fairfax Harbour.

Pacific Towing is Melanesia’s leading spill response and salvage operator, as well as the region’s only member of the International Salvage Union and International Spill Control Organization.  General Manager Neil Papenfus was enthusiastic about the Level 3 training that he attended together with other members of his senior leadership team.

Papenfus said that it was “excellent to see so many significant stakeholders come together for the training which had not previously been run in PNG.  The training strengthens our collective capacity to respond quickly and effectively to any maritime emergencies and spills that may occur in the future.” 

The NMSA’s investment in improving the effectiveness and efficiency with which PNG can deal with a major spill is timely given the expansion of the country’s oil and gas sector.  Not only will production greatly increase in the next three to four years (and therefore the number of export tankers in PNG waters) but so too will the sector’s logistical requirements associated with the imminent construction phase of the TotalEnergies led Papua LNG project – the vast majority of materials needed for the construction will be sourced internationally and arrive by ship.  It is estimated that maritime traffic in Port Moresby alone will increase by 30 percent during the first 18 months of the construction phase.

A further driver of increased maritime traffic in PNG – including much bigger vessels with larger fuel loads – is the refurbishment, modernisation, and expansion of many of the country’s ports, funded largely by the Australian Government.

NMSA Executive Manager Maritime Operations, Captain Krzysztof Orlowski, emphasised that it was not only the anticipated increase in vessel traffic that necessitated an improved spill response capacity for PNG.  He stressed that looking after the marine environment was perhaps more important for a country like PNG than most others, given its rich biodiversity and centrality to the cultural and commercial well-being of many communities. 

“Local coastal people heavily rely on the health of our waterways to provide for their families.  It is common for people to catch fish so that they have food on the table, as well as additional fish to sell at the market so that they have cash for essentials like medicine and education.  As such, we have much more to protect here than just profits and reputation.  Our growing investment in training, as well as our simulation exercises better position us to do exactly that” said Captain Orlowski.

To learn more about PNG’s National Maritime Safety Authority:  www.nmsa.gov.pg

Wan PNG is a platform and community dedicated to expanding opportunities for local Papua New Guineans. Its goal is to increase the development and sustainable employment of local PNG talent, so everyone in our great nation can share in newfound resources and growing prosperity.

With the goal of empowering individuals and businesses with the skills and people they need to succeed in the 21st century world, the Wan PNG platform spans three core areas for job seekers:

• Employment opportunities: Gain experience with internships, start earning with entry positions, or upgrade your career with the next big job.
• Career advice: Advance your career with expert advice and professional resources, and stay up-to-date on the latest news.
• Education and training: Expand your employment prospects by upgrading your knowledge, skills, and competencies through courses.

For employers it provides:

• Free access to upload jobs and find the best talent.
• Smart matching between jobs and candidates.
• Diversity promoting candidate suggestions reaching a wide pool of talent.

The platform's primary objective is to promote lifelong learning and employment and simultaneously bridge the skills gap in Papua New Guinea by providing accessible training opportunities to all its citizens. WanPNG believes that by investing in the development of its people, Papua New Guinea can unlock its full potential and become a more prosperous nation.

WanPNG is now available for job seekers and employers. Visit the website now at www.wanpng.com to learn more.

The St John ambulance service responded to over 21,000 emergencies across Papua New Guinea in 2022. In addition to being Papua New Guinea’s main emergency ambulance service, St John is the nation’s leading first aid training provider equipping thousands of workers with essential first aid skills and knowledge.

With just one day of training, St John’s expert first aid trainers can equip your workers with the basic skills to handle all kinds of first aid emergencies.

Workplace accidents and injuries are a common occurrence and it is essential for employers to have a competent workforce that can respond effectively to emergencies.

St John’s workplace first aid courses ensure your workforce is equipped with the first aid training to assist a sick or injured person.

It also helps organizations comply with legal requirements, reduce workplace injuries and fatalities and promote a culture of safety and preparedness.

The Papua New Guinea St John Ambulance provides training routinely in Port Moresby and Lae, and can facilitate training at any location in PNG, which makes it easy for workers to gain or maintain their first aid qualifications.

St John’s first aid trainers come from a variety of backgrounds, enabling them to contribute real-life experiences to the training environment.

Each course, based on St John Ambulance Australia’s training resources, goesthrough rigorous appraisal by training and health specialists including St John’s Papua New Guinea’s medical expert advisory panel - made up of some of the industry’s leading physicians and health professionals, who ultimately endorse the clinical training content components of the first aid courses. St John CEO Matt Cannon said, “this rigorous appraisal process gives clients the confidence of St John’s commitment to delivering the highest quality in training content and delivery in Papua New Guinea.”

Workplace first aid courses cover a broad range of topics, including basic life support, wound care, bandaging, splinting, CPR and using an AED.

Participants learn how to identify and manage different medical emergencies such as heart attacks, strokes, burns, fractures, and poisoning.

Each training program is designed to be flexible and can be delivered on-site or at one of our training centres.

If you want to ensure that your workplace is prepared to respond to emergencies, contact St John today to learn more about our workplace first aid training.

Photo: From left to right: Kevin Anderson (Theodist National Sales and Marketing Manager), Steven Abraham (Team PNG-para-athlete), Auvita Rapilla (PNGOC Secretary General) and Ryan Pini (Theodist Business Development Manager)

Theodist Ltd presented a cheque of K50,000 towards the PNG Olympics Committee as its annual sponsorship at the Theodist showroom on March 22, 2023. Present to receive the cheque were Secretary of the PNG Olympic Committee Auvita Rapilla and para-athlete for Team PNG Steven John.

Theodist Limited has been assisting the PNG OC for the past 20 years and is a strong advocate for promoting sports development in PNG. Their renewed sponsorship is a testament to their commitment.

"Theodist Limited is truly happy to sponsor the PNG Olympic Committee through sports development as this contributes to nation-building and prepares young Papua New Guinean athletes to excel in sports," said Mr. Kevin Anderson, the National Sales and Marketing Manager of Theodist.

Upon receiving the cheque, Ms. Auvita Rapilla said the sponsorship would go a long way to meeting the administration costs for the upcoming Olympic Games and South Pacific games this year.

The PNG OC is also preparing for the 2024 Olympic Games in Paris and has appointed Ryan Pini, Theodist Limited's Corporate Development Manager and a former swimming sensation and four-time Olympian for Team PNG, as Chef de Mission to the Olympic Games in Paris.

Photo: Theodist presenters in front of the 'Back to School CRV Promotion vehicle"

Theodist Ltd has announced the winner of its Back to School CRV Promotion. Mr Lantan Dawaki was declared the winner on Saturday, 11 March 2023 at the Theodist Car Park Entrance. The promotion, which ran from January to the end of February, was open to customers who spent K200 or more and were automatically entered into the draw. Participants from Lae, Mt Hagen and Port Moresby branches were eligible to enter.

Ryan Pini, the Business Development Manager of Theodist, drew the winner from among the participants. He expressed his gratitude to all customers for their participation, stating that the Back to School Promotion was the company's way of giving back to the community and making customers' lives better. The Back to School Promotion has been a regular event for Theodist for over 15 years in Papua New Guinea.

Theodist Ltd has also announced that it will be running more promotions in the future. Customers who spend K100 or more at Port Moresby, Lae or Hagen shops between 1 March and 30 April will have a chance to win one of three amazing vacation prizes. To increase their chances of winning, customers are encouraged to shop more.

We hope you take advantage of this promotion and good luck to all participants.

Coral Sea Hotels & Hospitality is proud to announce the opening of two new ENZO’s Pizza outlets this week in Port Moresby. The two new locations include Downtown, on Champions Parade, and Jacksons’ Airport at the Domestic Terminal Carpark.

ENZO’s Pizza Country Development Manager Sudeep Geethanandan said, “At ENZO’s. our vision is to be Papua New Guinea’s most loved pizza brand and our recent expansion is a testimony of how our customers have embraced ENZO’s Pizza and we remain grateful for that. We hope to bring many more celebratory moments for families, friends and colleagues in the future.”

The two new outlets operate seven days a week and are open from 9:30am. The new additions bring ENZO’s Pizza offering in Port Moresby to six stores, and the national coverage for the chain to 10 outlets across Port Moresby, Lae, Hagen, Goroka and Kiunga.

“We are growing at an exponential rate making us the fastest-growing Quick Service Restaurant brand in Papua New Guinea. We are making it more accessible to our pizza-loving customers with the opening of these ENZO’s Pizza outlets, says Mr. Geethanandan.

Treat yourself, your family, friends, or your team to one of ENZO’s saucy, toppings-loaded, hot, and deliciously cheesy pizzas today, and share your images with us using the hashtag #YumiCelebrate on Enzo’s Facebook page @enzospizza.p.n.g

Photo: NSL CEO and Deputy CEO in a recent radio interview. Credit: NSL

Nambawan Super Limited is expecting a negative outcome on its 2022 returns as some of its investments have come under pressure due to the combination of high inflation, supply chain disruption, and the rise in fuel and energy prices.

This also includes the introduction of the additional company tax on the BSP Financial Group, among other global economic issues that have slowed the growth of the world economy.

Nambawan Super Limited's Chief Executive Officer Paul Sayer said although the fund has tried to balance out its investment portfolio both offshore and locally, it has still experienced challenges on both sides.

"NSL employs an investment strategy that aims to diversify risks by running a balanced investment portfolio with about 20% of its investments deployed offshore and about 80% locally. This is done to de-risk the Fund when either the global or local markets perform poorly. However, last year NSL experienced challenges on both fronts, which we expect will negatively affect our returns for 2022," Sayer said.

Following the recent announcement of Bank South Pacific's (BSP) 2022 results, the largest superannuation fund in the country is expecting at least a reduction of K50 million in its 2022 returns.

Sayer outlined in a statement that this is also owing to the additional company tax that the government has imposed on the banking sector, and particularly BSP.

"Locally the Fund had been contending with the reduction of yields from State securities, which make up nearly 50% of the Fund’s Investment Portfolio. Most of the impact of the reduction in interest rates for State securities will be seen in 2023, but we are expecting at least K50m in reduced interest income for 2022 as a result," Sayer said.

Amidst the challenges, he said the fund has also managed to deliver some positive outcomes, such as the injection of over K700 million into the country through employee exits from the public sector, which included resignations, retirement and death benefit payments, and monthly unemployed benefit payments to over 12,000 members and beneficiaries of the superannuation fund.

In terms of how NSL has worked hard to ensure its members accounts were maintained and conveniently accessed for their retirement purposes, Sayer said the fund will continue to progress investments for a longer term.

“The Board aims to approve our financials and make a decision on the annual crediting rate by March 2023, which may be less than previous years but will help in continuing to grow our Members’ savings over the long term," Sayer ended.

New Britain Palm Oil Limited has established and opened its new corporate office complex in the West New Britain Province.

The new NBPOL Group headquarters was officially opened in a ceremony witnessed by dignitaries including Oil Palm Minister Francis Manake and Minister for Trade and Investment Richard Maru.

The K20 million facility is situated at Mosa in the Nakanai district of West New Britain. NBPOL's chairman, Mohammed Abdul Wahab, stated that the new facility is a testimony to the company's commitment to the Agriculture sector in the province and Papua New Guinea.

NBPOL is the largest private sector employer in the country and is also the largest agribusiness  operator in PNG.

Oil Palm Minister Manake, also MP for Nakanai district, in his keynote address at the opening ceremony commended NBPOL's contribution to the sector in the province and the country.

"I commend NBPOL for the standard that it has set, it has allowed us to enjoy the respected reputation on the international markets for oil palm,” he said.

"I also want to commend NBPOL for ensuring throughout the years in meeting its social obligations and maintaining high standards of environmental sound practices in the province and the agriculture sector.”

"So with this new office complex the company is now in a better position to manage its business portfolios that it is growing and expanding in the country," Minister Manake said.

Minister for Trade and Investment Maru said the government is ready to enhance a partnership with New Britain Palm Oil Limited to address development issues.

Mr. Maru highlighted that the partnership will focus on areas such as addressing law and order, power generation, and downstream processing of oil palm into finished product such as high quality cooking oil for the country's domestic market.

The minister said he wants a greater partnership between NBPOL and the government for a “win-win situation” for both entities.

He said the new headquarters in Kimbe signals to the government that NBPOL is here to stay in the long term and that it is honouring its commitment to the industry, the government and its people.

“The National Government is ready to commit resources into the tax credit scheme to address law and order issues in West New Britain Province. All we need is the province and the company to partner and work together with to reduce crime in the province,” said Mr. Maru.

He added that downstream processing was also a key priority of the Marape-Rosso Government.

"We cannot continue to import cheap and unhealthy cooking oil when we have the resources and technology here. I strongly appeal to the Board and Management of NBPOL to refine the palm oil further into high quality cooking oil in Kimbe or in Lae. Let us go down this path and Government is ready to assist to make this a reality," said the minister.

"We also do not want any more importation of sugar. The Government provided a twenty-year infant industry protection to sugar in the hope to replace all imports, but we are still importing sugar. This cannot go on. The industry should be expanded by increasing our growers or planting more sugar -- that is what the Government would like to see in our country," added Mr. Maru.

He emphasized that the new office should establish the start of a new era of enhanced relationship, one that is based on partnership between the national government and the provincial government that hosts all investments.

Meanwhile, Minister Maru said NBPOL must be thoughtful of the host province Kimbe as they have the customary right to benefit from oil palm by being involved and having shares in order to benefit from the industry.

Therefore NBPOL must anchor its future on the back of its social license to make certain that the landowners are benefiting as well as the host province.

As part of continuously improving service to members, the National Superannuation Fund, Nasfund, recently undertook a review of its values.

These values were launched by Nasfund Board Chairwoman Tamzin Wardley on Saturday February 18, 2023.

Speaking at the occasion, Chairwoman Wardley encouraged each Nasfund staff to take ownership of each value, and put them into practice at all times.

“These are exciting times for Nasfund.

Each of us have a responsibility to ensure that our conduct reflect these values which we have launched.

1. Connect: We are connected with our members. 
2. Trust: We are open, transparent and communicative. 
3. Growth: We strive to maximize returns for our members. 
4. Responsible: We act within the standards and laws for the benefit of our members. 
5. Inspire: We empower our people as capable professionals.

When put into practice in our daily duties, upholding these values will ensure that we continue to foster a safe, healthy working environment, so that we continue to deliver positive results for our members.” 

The values launch also provided an opportunity for staff to hear from outgoing CEO Ian Tarutia, and Incoming CEO Rajeev Sharma.

In his address, Mr. Sharma encouraged all Nasfund staff to remain committed to service to members, whilst upholding these values. “For many years, Nasfund has led the way in service delivery, and returns to members. But we will not rest on our laurels – we must continue to improve each day.

These values form the foundation of what we want to achieve, for our organization, but more particularly, for our members.

We will look to build on this, so that our members continue to benefit today, and be ready for tomorrow.”

Photo: Sir Kostas Constantinou

The BSP Financial Group has announced the retirement of group chairman, Sir Kostas Constantinou, effective February 28. Sir Kostas joined the Bank of South Pacific Limited (now BSP) in April 2009 as a director and was appointed chairman in February 2011. During his tenure, he led BSP through many significant milestones in Papua New Guinea and across the Pacific and South East Asia.

Group acting CEO, Ronesh Dayal, expressed appreciation for Sir Kostas’s leadership, stating that some of the key achievements during his tenure included expanding BSP’s banking operations through acquisitions in several Pacific countries, establishing asset finance businesses in Fiji, PNG, and the Solomon Islands, entering the finance markets in Cambodia and Laos via joint ventures, and establishing a new life insurance business in PNG. In May 2021, under Sir Kostas's leadership, BSP achieved a dual listing on the Australian Securities Exchange (ASX).

Sir Kostas expressed his gratitude for the support of his fellow directors and for the opportunity to drive BSP’s growth and expansion in the region. He wished the board and BSP continued success in the future.

Robert Bradshaw will replace Sir Kostas as BSP’s Board chairman. Mr Bradshaw joined the BSP board as a non-executive director in 2017 and served as chairman of BSP’s Remuneration and Nomination Committee. The BSP board and management expressed confidence in Mr Bradshaw’s ability to lead the company into the future.

Photo: Managing Director with three awards: International Travel Award-Best Boutique Hotel 2022, World Luxury Hotel Award - Luxury Business Hotel 2022, and Luxe Global Awards-Best Luxury Hotel & Conference Center 2022

Situated at a hilltop haven at the center of Port Moresby overlooking the Seaview of Ela Beach is the remodeled, prestigious, and modern five-star Crown Hotel welcoming international guests, business professionals, or those on a holiday getaway experience.

The Hotel was established in 1978 and is renowned for housing public figures and celebrities around the world in world-class standard accommodations, with its historical aspect in Papua New Guinea's road to development, which puts Crown Hotel on its reputable status.

General Manager for Crown Hotel Mr. Shanka Ghoshal said the Hotel prides itself in providing the best hospitality services for its guests at affordable rates and has over 200 well-trained staff to meet the guests' demands.

"Although some people may think that this hotel may be old, it's actually striving for excellence given the current renovation done to all the sections of the Hotel, giving it a new, improved look," said Mr. Ghoshal.

"So far, Crown Hotel has been awarded three prestigious awards (last year), including International Travel Award-Best Boutique Hotel 2022, World Luxury Hotel Award - Luxury Business Hotel 2022, and Luxe Global Awards-Best Luxury Hotel & Conference Center 2022.

The Hotel property itself offers an outdoor pool, a day spa, two restaurants, and a cocktail bar. Crown Hotel is a 5-minute walk from Ela Beach. All accommodation rooms feature a flat-screen TV and views of the Coral Sea or harbour. Guests enjoy free airport transfers.

Crown Hotel is within a 20-minute drive of Jackson International Airport and the National Museum & Art Gallery. The boardwalks of the National Capital Botanical Gardens are a 25-minute drive away.

Boasting 24/7 security, the hotel features a fitness centre, secure covered on-site parking, and a tour desk. One can relax on the sun loungers alongside the pool or unwind with a massage or facial at the Lotus Spa.

The air-conditioned accommodation options include private rooms and suites. All offer a satellite TV, a refrigerator, and tea/coffee-making facilities. Each has a private bathroom with a shower or bathtub, a hairdryer, and bathrobes.

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Rapala Restaurant and Cafe Restaurant offers a grill menu, an international buffet, and a selection of fine wines, while the Pondo Tavern offers international cuisine and boasts a patio deck offering sea views. If guests would like to indulge themselves, the Heritage Bar promises to provide homemade freshly brewed beer to quench the taste buds of beer lovers.

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Guests can relax on the sun loungers alongside the pool, or unwind with a massage or facial at the Lotus Spa.

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So far, guests who were housed at the hotel have given an excellent rating on their stay with Crown Hotel.

The National Superannuation Fund, Nasfund, has continued its partnership with Kalang Advertising Limited, FM100, as naming rights sponsor for the Nasfund FM100 Talkback Program.

Nasfund FM100 Talkback, Papua New Guinea’s longest running radio talk show, launched its 2023 Season this morning, with Prime Minister James Marape, State Ministers, and representatives from sponsors in attendance.

In providing the keynote address, Prime Minister Marape, thanked Nasfund for its continued support to a vibrant media in PNG.

“The media in PNG plays a crucial role in informing our people. Given the rise of social media commentaries in recent times, our people still look to mainstream media for factual, accurate news and information. Programs such as Nasfund FM100 Talkback provide that avenue for our people to engage with leaders across all levels on a daily basis. We thank Nasfund for continuing to support this important program that continues to be the flagship for talkback radio in PNG. As a responsible government, we will continue to ensure that the media remains independent and free from political influence, so that Papua New Guineans are informed, and make the right decisions to effect change in communities across the country. We look forward to also engaging with our people through Nasfund FM100 Talkback over the coming months.”

Similar sentiments were shared by Nasfund Acting CEO Rajeev Sharma, who highlighted the importance of talkback radio in PNG.

“Nasfund is pleased and honoured to once again continue our partnership with Kalang Advertising Limited, as the naming rights sponsor of the nation’s leading talkback program – the Nasfund FM100 Talkback Show. Nasfund has been a sponsor of the FM100 Talkback Show since late Roger Hauofa’s days. This represents over 20 years of partnership, more than 4,500 shows and over 9,000 hours of airtime of quality radio service to the people of Papua New Guinea. As the country’s leading superannuation service provider and largest by membership, we believe that an informed society makes informed decisions. More specifically for us, an informed superannuation membership makes the right choices for the future financial security for themselves and their beneficiaries. Utilizing radio is one such method in ensuring an educated membership and reaching a wider audience, especially those in rural or geographically dispersed areas. We use the Nasfund Talkback Show as a one of our key engagement platforms with our members and registered employers, to inform, update and educate Nasfund members and the public on all matters relating to the Fund (governance, services, investments, new innovations). We believe this is important, as more Papua New Guineans now understand the importance of superannuation and savings in general.”

Photo: Kuma Baliah (Theodist-Chief Executive Officer), Collin Pake (Director of Life PNG Care Inc), Ryan Pini (Theodist-Business Development Manager), and Kevin Anderson (Theodist-National Sales and Marketing Manager)

The Executive Team of Theodist Ltd. was present at the Theodist showroom office in Waigani on 8 February to give a donation of K25,000 towards the education and well-being of more than 600 underprivileged children under the care of Life PNG Care Inc. through its Strongim Pikinini Education Program.

Present to receive the cheque was the Director of Life PNG Care Inc., Mr. Collin Pake, who thanked Thoedist Ltd. -- the country's leading office products supplier -- for the much-needed assistance for its special education program that will give the underprivileged and less-fortunate children who are mostly from the streets a chance at education and growing them to be the leaders of tomorrow.

"I appreciate the support of Thoedist over the past six years who have contributed from K200,000 to K300,000 towards Life PNG Care Inc. as part of its corporate responsibility program. They are putting the money where the mouth is for a worthy cause, as most children in PNG do not have a chance at proper education," stated Mr. Pake

Speaking on behalf of Theodist Ltd., Business Development Manager Mr. Ryan Pini stated that the company was more than happy to support the children through the care of Life PNG Care Inc. to receive a better chance in education, shelter, and opportunity to progress in life, and hope to see more children benefit in the future. 

Life PNG Care Inc. has recently helped its youth complete a Bachelor's Degree in Accounting, who is now working for an accounting firm, as part of its success story and is striving to make all its children get a better chance in life.

Photo: RIFL's Chief Executive Officer, Peter Boutcher

CEO sets sights on next growth phase for the year after challenging pandemic period in the finance industry.

Established and incorporated by the PNG Banking Corporation in 1979 as Papua New Guinea’s first merchant bank, Resources & Investment Finance Limited (RIFL) is a traditional asset finance business mainly focused on commercial customers. RIFL operated as a merchant bank until it withdrew from the market in the mid to late 1990s.

The company lay dormant over the years before a revival commenced in 2012, resulting in the successful application for a new license and the acquisition and reactivation of RIFL as a licensed financial institution.

The company kept the name RIFL because it still had amity in the business community and in the marketplace. In 2015, the company reached a milestone achievement by issuing 12 million new shares for cash consideration to fund ongoing growth. The business was based primarily on commercial asset finance and has since formalized its appropriate process and structures that have now fallen more in line with traditional finance operations.

Pandemic Period

Despite the pandemic’s severe economic impacts on Papua New Guinea’s financial institutions, RIFL achieved steady revenues and profits in 2021. PNG Business News recently sat down with the company’s Chief Executive Officer, Peter Boutcher, to discuss its successes and plans for growth.

Boutcher has spent the last 30 years working in PNG and is also a citizen of the country. As a seasoned banker, he has gained vast experience and has a broad understanding of the county’s financial sector while he held top posts with ANZ and Bank South Pacific (BSP) over the years prior to his current role as the CEO of RIFL.

While his current focus is establishing RIFL’s clientele base and profit margin, he revealed that for the past 12 months post-Covid, the company has also focused on its staffing, loan documentation, policies, and procedures, at the same time building a predominantly commercial equipment finance portfolio.

“Covid gave us a great opportunity to focus internally, looking at our own processes, procedures, and our own policies on all aspects including equipment financing, financial reporting and administration, business development, operations, systems, credit risk management, policy and procedure development and training of personnel,” he said.

“We are progressing to get all these things right as we do have to be compliant because we come under the guidelines and oversight of the Bank of PNG, so from a prudential point of view our greatest achievement post-Covid was focusing on our company’s mechanisms and how well we could be able to adapt our services within this period,” he added.

“It has been a struggle with Covid as a lot of our clients had issues, especially with trucking and logistics as a lot of provinces had closed their borders, and moving between these provinces became problematic for some of our clients. Travel bans were imposed and that put a lot of pressure on a lot of people over a period of time.”

“On the bright side, we sat down with these businesses and have guided them through this period and most of them are now starting to reestablish the business that they had. As mentioned, it’s also been a fairly tough twelve months post-Covid and currently, we’re exploring new markets and those existing areas that haven’t been completely dominated by other industry players,” Boutcher said.

Focus & Strengths

RIFL is focused on four core financial aspects: Asset Finance, Insurance Funding, Financial Leasing, and Personal Loans. Their services range from providing equipment finance for commercial and consumer purposes, including motor vehicles, trucks and earth-moving machinery, and mining and construction equipment. They also specialize in funding technology assets like information technology and office equipment, software, and telecommunications.

“We want to be a market leader in finance, with a healthy loan book and a steady growth rate over the years to come. Our response to clients is a serious priority for us. We have a strong customer base, and we ensure they are given a good turnaround time for their investments,” Boutcher said.

“We have been doing quite well with term deposits which ensure that our clients get a guaranteed rate of interest, and our growth phase is now more aligned in embarking and venturing more into this financial aspect.”

"RIFL has already grown from a small finance company over the years to a well-known competitor in the finance industry. It is important that we strengthen the management to ensure we have the necessary governance and compliance and appropriate human resources to continue this upward trend,” Boutcher said.

Growth Phase

In proceeding with the growth and expansion of its services, RIFL has ensured that risk and security measures including collaterals are in place. Although risks are being taken, they are calculated based on the serviceability and sustainability of loans.

“We are a small organization, but we also have many years of data that we can use to assess and mitigate risks. PNG is a tough lending environment, and it comes with its own challenges, however, we must persevere with our businesses,” Boutcher said.

RIFL have also been looking at growing the business, particularly with established SMEs to help them grow, consideration had been given to several SMEs and local companies that they have funded into various projects, especially in road and construction projects.

Others have diversified into agricultural projects such as palm oil, coffee, and other sectors such as shipping, but the goal is to spread the risk by investing with established SMEs instead of being too reliant on a few multi-corporate clients. That’s a significant part of the finance company’s strategy going forward.

“From a business perspective what we’re looking at is financing heavy equipment trucks and machinery, but we have also been keen on assisting people with working capital requirements, consumer lending to people in the management level who are looking to create self-wealth or those who are willing to buy motor cars, white goods, and brown goods,” Boutcher said.

“Another aspect is to look at retirees in both the public and private sector and offer long-term deposits with good interest rates and pay monthly interest similar to a pension.”

“So, for retirees opting to invest with us who have superannuation funds from K200,000 can get a constant income in their retirement. That is something that we are looking to embark on this year and hopefully attract a lot of those retiree funds, as the banks pay relatively low rates on investments,” Boutcher explained.

Expected Outcomes

RIFL’s progress in maintaining their clients has been great as they have had some long-term loyal clients although some have had financial difficulties. The finance company has been able to go through a process with these clients by working with them based on their current and future contracts and then determining a way forward.

“In the future, we would like to get to a stage where we are considered the premiere finance company in PNG and tap into the superannuation of retirees to try and help them, and also help us as well, because if they invest with us that will help us with our funding,” Boutcher said.

Previously RIFL took a different approach in program alliances with vendors and committed sponsorships within the community and sports. But now they have made a collective decision and have decided to invest more into branding and brand awareness and have been progressing quite well.

“Operations of the company depends on going out and engaging with our clients so since we are a finance company based in Port Moresby, one of our focuses would be to give more emphasis on clients outside of the city in other provinces,” he said.

“Some (clients) get into situations where they need to sell assets whether that be machinery or property to try and reduce the debt burden and we try to support them as best as we can through those times,” the RIFL chief said.

“We are open to new business as well as new challenges. For us, we want to continue to grow the business and have a long-term relationship with Papua New Guineans as a finance company, so what we are looking at is continued and controlled growth,” Boutcher ended.