Papua New Guinea:
Economy

Pages for other countries and territories

Other pages in this profile of Papua New Guinea:
Geography, People, Government, Communications & Transportation, Military & Transnational Issues.


Economy - overview	Definition 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)	Definition - World rank and map $11.94 billion (2007 est.)
GDP (official exchange rate)	Definition $6.001 billion (2007 est.)
GDP - real growth rate	Definition - World rank and map 6.2% (2007 est.)
GDP - per capita	Definition - World rank and map $2,000 (2007 est.)
GDP - composition by sector	Definition agriculture: 34% industry: 37.3% services: 28.7% (2007 est.)
Labor force	Definition 3.557 million (2007 est.)
Labor force - by occupation	Definition agriculture: 85% industry: NA% services: NA% (2005 est.)
Unemployment rate	Definition - World rank and map 1.9% up to 80% in urban areas (2004)
Population below poverty line	Definition 37% (2002 est.)
Household income or consumption by percentage share	Definition lowest 10%: 1.7% highest 10%: 40.5% (1996)
Distribution of family income - Gini index	Definition - World rank and map 50.9 (1996)
Inflation rate (consumer prices)	Definition - World rank and map 1.7% (2007 est.)
Investment (gross fixed)	Definition - World rank and map 20.2% of GDP (2007 est.)
Budget	Definition revenues: $2.347 billion expenditures: $2.153 billion (2007 est.)
Public debt	Definition - World rank and map 42% of GDP (2007 est.)
Agriculture - products	Definition coffee, cocoa, copra, palm kernels, tea, sugar, rubber, sweet potatoes, fruit, vegetables, vanilla; shell fish, poultry, pork
Industries	Definition 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	Definition - World rank and map 6.4% (2007 est.)
Electricity - production	Definition - World rank and map 3.698 billion kWh (2005)
Electricity - consumption	Definition - World rank and map 3.439 billion kWh (2005)
Electricity - consumption per capita	Definition - World rank and map 579.8 kWh (2005)
Electricity - exports	Definition 0 kWh (2005)
Electricity - imports	Definition 0 kWh (2005)
Oil - production	Definition - World rank and map 50,000 bbl/day (January 2006 est.)
Oil - consumption	Definition - World rank and map 26,000 bbl/day (2005 est.)
Oil - consumption per 1,000 people	Definition - World rank and map 4.4 bbl/day (2005 est.)
Oil - exports	Definition - World rank and map 44,580 bbl/day (2004)
Oil - imports	Definition - World rank and map 24,020 bbl/day (2004)
Oil - proved reserves	Definition - World rank and map 170 million bbl (2007 est.)
Natural gas - production	Definition - World rank and map 95.91 million cu m (2005 est.)
Natural gas - consumption	Definition - World rank and map 95.91 million cu m (2005 est.)
Natural gas - consumption per capita	Definition - World rank and map 16 cu m (2005 est.)
Natural gas - exports	Definition - World rank and map 0 cu m (2005 est.)
Natural gas - imports	Definition - World rank and map 0 cu m (2005)
Natural gas - proved reserves	Definition - World rank and map 331.3 billion cu m (1 January 2006 est.)
Current account balance	Definition - World rank and map $259 million (2007 est.)
Exports	Definition - World rank and map $4.676 billion f.o.b. (2007 est.)
Exports - commodities	Definition oil, gold, copper ore, logs, palm oil, coffee, cocoa, crayfish, prawns
Exports - partners	Definition Australia 25.8%, Japan 9.5%, China 6.2% (2006)
Imports	Definition - World rank and map $2.564 billion f.o.b. (2007 est.)
Imports - commodities	Definition machinery and transport equipment, manufactured goods, food, fuels, chemicals
Imports - partners	Definition Australia 51.1%, Singapore 11.3%, China 7.5%, Japan 5.5% (2006)
Reserves of foreign exchange and gold	Definition - World rank and map $2.108 billion (31 December 2007 est.)
Debt - external	Definition - World rank and map $1.595 billion (31 December 2007 est.)
Stock of direct foreign investment - at home	Definition $NA
Stock of direct foreign investment - abroad	Definition $NA
Market value of publicly traded shares	Definition $4.863 billion (2005)
Economic aid - recipient	Definition $266.1 million (2005)
Currency (code)	Definition kina (PGK)
Exchange rates	Definition kina per US dollar - 3.03 (2007), 3.0643 (2006), 3.08 (2005), 3.2225 (2004), 3.5635 (2003)
Fiscal year	Definition calendar year

Papua New Guinea: Economy

Papua New Guinea:
Economy