22 September 2016

Finding Balance 2016 launched in Port Moresby

Pictured at the launch of Finding Balance 2016 are (left to right): David Conn, Chief Executive of the Port Moresby Chamber of Commerce and Industry; Jodie McAlister, Counsellor (Economic Governance and Private Sector Development, Australian High Commission; Laure Darcy, PSDI SOE Reform Team Leader; Patrick Pruaitch, PNG Minister for Treasury; Christopher Russell, PSDI SOE Reform Expert; and Tony Fautua, New Zealand High Commissioner to PNG. 
Analysis and recommendations from Finding Balance 2016 were presented at a breakfast hosted by the Port Moresby Chamber of Commerce and Industry today.

Around 80 members of PNG's business community attended the event, along with the PNG Treasurer Patrick Pruaitch, New Zealand High Commissioner Tony Fautua, US Ambassador Walter North and staff from the Australian High Commission.

The report's authors, PSDI State-owned Enterprise (SOE) Reform Team Leader Laure Darcy and SOE Reform Expert Christopher Russell, presented its findings, highlighting its analysis of PNG's SOEs.

The report found the profitability of PNG’s SOE portfolio has declined steadily since its peak in 2005. Between 2010 and 2014, PNG’s SOE portfolio produced an average return on assets of 1.3% and an average return on equity of 2.4%, down from 4% and 7%, respectively, between 2002 and 2009.

The report says incomplete implementation of 2014’s Public-Private Partnerships Act, and the transfer of SOE oversight responsibilities to the National Executive Council in 2015, are impeding reforms that would improve SOE performance. Ms Darcy called for renewed efforts to advance reforms to PNG's SOEs so the country can reap the benefits of better performing SOEs.

Click here to hear SOE Reform Team Leader Laure Darcy discuss Finding Balance 2016 on Radio Australia. 

See news release