Investments in future costs fueling provincial inequality

The O’Neill Government’s spending on “awe and envy” NCD infrastructure with poor net returns whilst allowing our rural people to languish in hardship from drying funds for much needed goods and services betrays the deficit of the O’Neill government not only in public finances but also in its morals. The cost of the very large new NCD roads exceeds the annual revenue for all those provinces outside NCD and Morobe. This gives perspective to the gross inequity and misallocation of resources.

Protecting the front line of public service delivery

Whilst the significant increase in access to basic education is commendable this seems to have come at the cost of quality of education. The surge in enrollments has not been matched by a commensurate funding increase to support additional school infrastructure, materials and teacher development training. Now the Government expects teachers to suffer a real cut to their wages despite their teaching burden doubling. An erosion in the quality education will have profound effects at a personal and national level.

What Moody’s actually said about PNG’s credit rating

The conditions necessary to satisfy an upgrade in the credit rating given by Moody’s have not been satisfied by the O’Neill Government despite the political rhetoric by the government. The twin challenges of budget difficulties and international reserve pressures are going to need some steel by the new Parliament to take the tough decisions to repair our budget and strengthen the external position of our economy.