Press Release

Minister Maru: Empower MSMEs to create wealth for Papua New Guinea

11/09/2018

The Minister for National Planning and Monitoring, Hon. Richard Maru says strengthening of Micro, Small and Medium Enterprises (MSMEs) is essential for Papua New Guinea’s economy, due to the size of the sector and the need to broaden the country’s economic base as the middle class expands.

National Planning Minister Richard Maru speaking during the APEC Business Advisory Council MSME and Innovation Summit in Port Moresby.

The Minister for National Planning and Monitoring, Hon. Richard Maru says strengthening of Micro, Small and Medium Enterprises (MSMEs) is essential for Papua New Guinea’s economy, due to the size of the sector and the need to broaden the country’s economic base as the middle class expands.

Minister Maru made this statement during the APEC Business Advisory Council (ABAC) MSME and Innovation Summit currently on at the International Convention Centre (ICC) in Port Moresby this morning.

“PNG has a dual economy, which consists of the formal and informal economic sector.

“Eighty per cent of our people live in rural villages and communities and work, trade and do business in markets in our towns and cities and along our highways. They are referred to as our informal cash economy,” said Maru.

PNG’s formal sector has 50,000 formal registered MSMEs, employs 200,000 citizens and contributes to 10 percent of our GDP contribution.

“Our informal sector is worth 20 percent of the GDP and is valued at an estimated K12 billion a year and is worth 30 percent of our GDP.

“Our MSMEs drive our economy forward and provide food and shelter for millions of our people,” said Minister Maru.

He said the best way to create mass employment and create wealth for Papua New Guineans was through empowering this sector.

“Our Government wants to see more Papua New Guineans operate their own businesses.

“The MSME sector is capable of spreading wealth more equitably and supporting and sustaining strong economic growth which secures our prosperity into the future.

“Being innovative for Government is just as important for MSMEs and is the best way forward to embrace new opportunities,” said Maru.

The summit will provide recommendations to APEC leaders in November on measures that advance growth and further participation of MSMEs in the APEC member economies and promote and demonstrate the role of digitalization and its contribution to MSME growth and prosperity in the region.