On July 7, 2023, James Marape, the Prime Minister of Papua New Guinea (PNG), launched the country’s Medium Term Development Plan (MTDP) IV 2023-2027 at APEC Haus, Port Moresby. According to Marape, MTDP has been framed to incorporate the Government’s development agenda to grow the economy to Kina (the currency of PNG) 200 billion by 2030, double country’s internal revenue, double exports revenue, and create one million new jobs. MTDP IV identifies sectoral targets, strategic priority areas, funding modalities, partnerships, implementation, and accountability structures that are underpinned by stringent monitoring and evaluation processes.
MTDP IV is premised on the theme of achieving “National Prosperity through Growing the Economy”. The role of MTDP IV is set priorities and medium-term targets which contribute to growing the PNG economy to K164 billion and improve PNG per capita income to K12,000 (or US$3,000 equivalent) by 2027. MTDP IV growth projections are based on seven key growth triggers which are: to increase Internal Revenue to K25.0 billion by 2027, increase total expenditure to K30.0 billion by 2027, a capital investment budget of K51billion by 2027, increase export revenue to K50 billion by 2027, reduce imports by K5 billion by 2027, investment in Connect PNG infrastructure to be K17.84billion by 2027 and enforce law and order and national security at a total investment of cost of K3694 million by 2027.
MTDP IV identifies 12 key Strategic Priority Areas (SPAs) which are supported through Deliberate Intervention Programs (DIPs). The first SPA is Strategic Economic Investment. PNG aims to strengthen its economic base by strategically investing in sectors where it has a comparative advantage including agriculture, forestry, fisheries, mining and petroleum, clean energy, and the MSME sector. The second SPA is the Connect PNG Infrastructure. Under this SPA, PNG aims to improve country wide connectivity through the development of critical enabling infrastructure. It focuses on expanding transport infrastructure, rolling out energy grids and ICT networks, installing water and sanitation systems, and building affordable housing. The third SPA is Quality and Affordable Healthcare. The Government, in collaboration with private health care providers, intends to roll out primary health care services through the Community Health Post (CHP) and the District and Provincial Hospitals Programs. In addition, Provincial Health Authorities (PHAs) will be empowered to deliver specialized health care services.
The fourth SPA is Quality Education and Skilled Human Capital. The Government will invest in delivering “accessible, affordable and quality education” for early childhood, primary and secondary education. In addition, the Government will continue the Tuition Fee Free (TFF) education policy as well as continue to invest in Technical Vocational Education and Training (TVET) throughout the country. The fifth SPA is a Rule of Law and restorative Justice. Under this, the PNG Government commits to restoring the “respect for the rule of law” by focusing on effective policing, enhancing public safety and extending initiatives for crime prevention, facilitating restorative justice, improving access to justice systems, promoting community peace and capacity building for effective delivery of justice services. The next SPA is National Security which has been elevated as a priority sector in MTDP IV. The Government intends to improve the capabilities of the National Defence System.
The next SPA is the National Revenue and Public Finance Management Act. This aims at strengthening revenue generation and public finance management by empowering responsible agencies. The focus is to support tax and non-tax revenue mechanisms through improved compliance and collection, capacity enhancement, reporting, and exploring new revenue sources. SPA 8 is Digital Government, National Statistics and Public Service Governance. This entails digitization and integration of public service systems into strategic planning, better coordination and evidence-based decision making for national development and transformation. SPA 9 is Research, Science and Technology. The Government recognizes that strategic investments in Research, Science and Technology (RST) are fundamental to growth and transformation into a smart Nation.
SPA 10 is Climate Change and Natural Environment Protection. PNG is currently ranked 10th most vulnerable country in the world. This SPA entails that PNG will continue putting forward proactive approaches to data, tools, disclosure and mitigation strategies to combat climate change. SPA 11 is Population, Youth and Women Empowerment. The Government will focus on managing the country’s population in a sustainable way; empowering youths through skills training and opening up opportunities for them to contribute meaningfully towards development; addressing issues affecting women; and ensuring that the requirements of people living with disability and vulnerable are addressed. The 12th and final SPA is Strategic Partnership under which the Government will encourage foreign development partners to prioritise investments in key sectors that have significant potential for catalysing additional and wider economic and socio-economic development.
The objectives of MTDP IV are aligned with the country’s overall long-term Vision 2050 strategic development road map. The Government of Prime Minister Marape is committed to the implementation of the vision outlined in MTDP IV and has stressed the importance of immediate action by all departments and agencies to deliver tangible benefits to the people of PNG.