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Government
Papua New Guinea

Country name:

conventional long form: Independent State of Papua New Guinea conventional short form: Papua New Guinea local short form: Papuaniugini former: Territory of Papua and New Guinea abbreviation: PNG

Government type:

constitutional parliamentary democracy

Capital:

name: Port Moresby geographic coordinates: 9 30 S, 147 10 E time difference: UTC+10 (15 hours ahead of Washington, DC during Standard Time)

Administrative divisions:

20 provinces; Bougainville, Central, Chimbu, Eastern Highlands, East
New Britain, East Sepik, Enga, Gulf, Madang, Manus, Milne Bay,
Morobe, National Capital, New Ireland, Northern, Sandaun, Southern
Highlands, Western, Western Highlands, West New Britain

Independence:

16 September 1975 (from the Australian-administered UN trusteeship)

National holiday:

Independence Day, 16 September (1975)

Constitution:

16 September 1975

Legal system:

based on English common law; has not accepted compulsory ICJ jurisdiction

Suffrage:

18 years of age; universal

Executive branch:

chief of state: Queen ELIZABETH II (since 6 February 1952); represented by governor general Sir Paulius MATANE (since 29 June 2004) head of government: Prime Minister Sir Michael SOMARE (since 2 August 2002); Deputy Prime Minister Puka TEMU (since 29 August 2007) cabinet: National Executive Council appointed by governor general on recommendation of prime minister elections: monarch is hereditary; governor general nominated by parliament and appointed by chief of state; following legislative elections, leader of majority party or leader of majority coalition usually is appointed prime minister by governor general

Legislative branch:

unicameral National Parliament (109 seats, 89 filled from open electorates and 20 from provinces and national capital district; members elected by popular vote to serve five-year terms); constitution allows up to 126 seats elections: last held from 30 June to 10 July 2007; next to be held in June 2012 election results: percent of vote by party - NA; seats by party - National Alliance 27, PNGP 8, PAP 6, URP 6, PANGU 5, PDM 5, independents 19, others 33; note - election to 1 seat was nullified note: 15 other parties won 4 or fewer seats; association with political parties is fluid

Judicial branch:

Supreme Court (the chief justice is appointed by the governor general on the proposal of the National Executive Council after consultation with the minister responsible for justice; other judges are appointed by the Judicial and Legal Services Commission)

Political parties and leaders:

National Alliance Party or NA [Michael SOMARE]; Papua and Niugini
Union Party or PANGU PATI [Andrew KUMBAKOR]; Papua New Guinea Party
or PNGP [Sir Mekere MORAUTA]; People's Democratic Movement or PDM
[Michael OGIO]; People's Action Party or PAP [Gabriel KAPRIS];
United Resources Party or URP [William DUMA] (2007)

Political pressure groups and leaders:

Ahora [Andrew MAMOKO] (represents local tribes); Centre for
Environment Law and Community Rights or Celcor [Damien ASE];
Community Coalition Against Corruption

International organization participation:

ACP, ADB, APEC, ARF, ASEAN (observer), C, CP, FAO, G-77, IBRD, ICAO,
ICRM, IDA, IFAD, IFC, IFRCS, IHO, ILO, IMF, IMO, Interpol, IOC, IOM
(observer), IPU, ISO (correspondent), ITSO, ITU, MIGA, NAM, OPCW,
PIF, Sparteca, SPC, UN, UNCTAD, UNESCO, UNIDO, UNWTO, UPU, WCO, WHO,
WIPO, WMO, WTO

Diplomatic representation in the US:

chief of mission: Ambassador Evan Jeremy PAKI chancery: 1779 Massachusetts Avenue NW, Suite 805, Washington, DC 20036 telephone: (202) 745-3680 FAX: (202) 745-3679

Diplomatic representation from the US:

chief of mission: Ambassador Leslie V. ROWE embassy: Douglas Street, Port Moresby, N.C.D. mailing address: 4240 Port Moresby PI, US Department of State, Washington DC 20521-4240 telephone: 321-1455 FAX: 321-3423

Flag description:

divided diagonally from upper hoist-side corner; the upper triangle is red with a soaring yellow bird of paradise centered; the lower triangle is black with five, white, five-pointed stars of the Southern Cross constellation centered

Economy
Papua New Guinea

Economy - overview:

Papua New Guinea is richly endowed with natural resources, but exploitation has been hampered by rugged terrain and the high cost of developing infrastructure. Agriculture provides a subsistence livelihood for 85% of the population. Mineral deposits, including copper, gold, and oil, account for nearly two-thirds of export earnings. The government of Prime Minister SOMARE has expended much of its energy remaining in power. He was the first prime minister ever to serve a full five-year term. The government also brought stability to the national budget, largely through expenditure control; however, it relaxed spending constraints in 2006 and 2007 as elections approached. Numerous challenges still face the government including regaining investor confidence, restoring integrity to state institutions, promoting economic efficiency by privatizing moribund state institutions, and balancing relations with Australia, its former colonial ruler. Other socio-cultural challenges could upend the economy including a worsening HIV/AIDS epidemic and chronic law and order and land tenure issues. Australia will supply more than $300 million in aid in FY07/08, which accounts for nearly 20% of the national budget.

GDP (purchasing power parity):

$12.05 billion (2007 est.)

GDP (official exchange rate):

$6.001 billion (2007 est.)

GDP - real growth rate:

6% (2007 est.)

GDP - per capita (PPP):

$2,100 (2007 est.)

GDP - composition by sector:

agriculture: 34% industry: 37.3% services: 28.7% (2007 est.)

Labor force:

3.557 million (2007 est.)

Labor force - by occupation:

agriculture: 85% industry: NA% services: NA% (2005 est.)

Unemployment rate:

1.9% up to 80% in urban areas (2004)

Population below poverty line:

37% (2002 est.)

Household income or consumption by percentage share:

lowest 10%: 1.7% highest 10%: 40.5% (1996)

Distribution of family income - Gini index:

50.9 (1996)

Investment (gross fixed):

19.3% of GDP (2007 est.)

Budget:

revenues: $2.363 billion expenditures: $2.21 billion (2007 est.)

Fiscal year:

calendar year

Public debt:

40.1% of GDP (2007 est.)

Inflation rate (consumer prices):

0.9% (2007 est.)

Central bank discount rate:

7.38% (31 December 2007)

Commercial bank prime lending rate:

9.78% (31 December 2007)

Stock of money:

$1.685 billion (31 December 2007)

Stock of quasi money:

$1.482 billion (31 December 2007)

Stock of domestic credit:

$1.486 billion (31 December 2007)

Agriculture - products:

coffee, cocoa, copra, palm kernels, tea, sugar, rubber, sweet potatoes, fruit, vegetables, vanilla; shell fish, poultry, pork

Industries:

copra crushing, palm oil processing, plywood production, wood chip production; mining of gold, silver, and copper; crude oil production, petroleum refining; construction, tourism

Industrial production growth rate:

6.4% (2007 est.)

Electricity - production:

2.875 billion kWh (2006 est.)

Electricity - consumption:

2.674 billion kWh (2006 est.)

Electricity - exports:

0 kWh (2007 est.)

Electricity - imports:

0 kWh (2007 est.)

Electricity - production by source:

fossil fuel: 54.1% hydro: 45.9% nuclear: 0% other: 0% (2001)

Oil - production:

42,100 bbl/day (2008 est.)

Oil - consumption:

29,050 bbl/day (2006 est.)

Oil - exports:

39,310 bbl/day (2005)

Oil - imports:

24,150 bbl/day (2005)

Oil - proved reserves:

88 million bbl (1 January 2008 est.)

Natural gas - production:

140 million cu m (2006 est.)

Natural gas - consumption:

140 million cu m (2006 est.)

Natural gas - exports:

0 cu m (2007 est.)

Natural gas - imports:

0 cu m (2007 est.)

Natural gas - proved reserves:

226.5 billion cu m (1 January 2008 est.)

Current account balance:

$125.8 million (2007 est.)

Exports:

$4.686 billion f.o.b. (2007 est.)

Exports - commodities:

oil, gold, copper ore, logs, palm oil, coffee, cocoa, crayfish, prawns

Exports - partners:

Australia 27.3%, Japan 9.5%, China 5.7% (2007)

Imports:

$2.629 billion f.o.b. (2007 est.)

Imports - commodities:

machinery and transport equipment, manufactured goods, food, fuels, chemicals

Imports - partners:

Australia 51.3%, Singapore 11.6%, China 7.9%, Japan 5.7% (2007)

Economic aid - recipient:

$266.1 million (2005)

Reserves of foreign exchange and gold:

$2.087 billion (31 December 2007 est.)

Debt - external:

$1.646 billion (31 December 2007 est.)

Stock of direct foreign investment - at home: