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The Papua New Guinean Government has been attending several high level meetings on a world stage but it’s people are struggling with high cost of living and high unemployment rate.

The prices of basic goods like rice, sugar and cooking oil have doubled even tripled within months but the PNG government doesn’t acknowledge the hardship.

Prime Minster, James Marape said PNG will make it’s first appearance at the World Economic Forum Annual Meeting in Switzerland, next January.

“The invitation from the World Economic Forum serves as a clear indicator that Papua New Guinea is gaining significant recognition on the global stage. Our outreach to numerous world leaders since my assumption of office in May 2019 has been instrumental in achieving this milestone,” said Marape.

Papua New Guinea’s Prime Minister James Marape (2nd from left)

However the PNG economy doesn’t reflect the government’s claims. It’s’s costly running a business in the capital City of Port Moresby and the costs are even higher at outer centers.

The invitation follows comments from Founder and Executive Chairman of the World Economic Forum (WEF), Professor Klaus Schwab who extended the invite to PNG at the opening of the World Indigenous Business Forum.

World Economic Forum
Professor Klaus Schwab (picture by World Economic Forum)

Marape said the significance of this invitation notably stands as a testament to Papua New Guinea’s increasing prominence on the global stage.

“Papua New Guinea occupies a pivotal role on both regional and global fronts, blessed with vast rainforest biodiversity and serving as a vital energy supplier to Asia and Japan. Our strategic location bridging the East and the West adds to our significance. Following the principles of ‘friends to all and enemies to none,’ as outlined in our foundational foreign policy in 1975 during the Pangu Pati-led Government of Sir Michael Somare, we remain steadfast in our commitment to this approach,” Marape said.

While it’s true that most natural resources are being exported overseas, the outcome of energy benefits doesn’t serve the interest of business owners.

Small to medium enterprises business owners say the electricity supply is unreliable and just the cost of operating a business often exceeds the income.

This forces them to charge a higher price on basic goods in the effort of making profits.

The burden of this all falls on the customers, mostly the average to low income earners.

The Marape government needs to support the SME owners to lower the cost of services like electricity and water.

“The present leadership of Papua New Guinea is resolute in maintaining this policy discourse, demonstrated by our engagements with numerous world leaders since 2019, culminating in this prestigious invitation to the 2024 World Economic Forum,” said Marape.

The WEF Annual Meeting serves as a global assembly of leaders from government, business, and civil society, fostering discussions on the current state of the world and setting priorities for the year ahead. This year’s event assumes heightened significance as it unfolds amidst a “polycrisis,” denoting the convergence of multiple critical issues, including climate and biodiversity crises, the ongoing COVID-19 pandemic, conflicts in Ukraine and the Middle East, and concerns surrounding the cost of living.

But when such high level business meeting end in Port Moresby, SME owners will still be facing the high cost of services and slow profits.

The World Economic Forum 2023, held in Davos, Switzerland. (Picture by World Economic Forum)

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