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PNG CREDIT RATINGS TANK WITH O'NEILL'S TUCKER BOX TYPE ECONOMIC POLICY

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by FRANK KALUWIN PNG credit rating has been downgraded from B+ during the tenure of the National Alliance Party, To B- recently now B1 to B2, Even the Bank Of New York had withdrawn their Guarantee for Papua New Guinea. The World Bank is not stupid, they will not lend money to PNG because they know, as soon as the money lands on the PNG shores, Peter O'Neill open his back doors to benefit himself more than the country. However, the World Bank group will want to fund interventions directly instead just hand it over, that is if they do. If the World Bank  Group agree to loan the money; there will be no DSIP/PSIP for the MPs, we will then see the real colors as why all Members of Parliament  can't leave Peter O'Neill. Moody's Investors Service has today (25th April 2016) downgraded the Government of Papua New Guinea's (PNG) foreign currency and local currency issuer ratings to B2 from B1. The outlook on these ratings is stable. This concludes the review for

MOODY'S PLACING PNG B1 GOVERNMENT RATINGS ON REVIEW FOR A DOWNGRADE- PANIC STATION

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by MOODYS CREDIT RATING Moody's places PNG's B1 government ratings on review for downgrade Global Credit Research - 25 Feb 2016 Moody's Investors Service ("Moody's") has placed the Government of Papua New Guinea's ("PNG") B1 local currency and foreign currency issuer ratings on review for downgrade. The review for downgrade is driven by: 1. The impact of the further fall in oil prices on government revenue, fiscal deficits and rising debt; and 2. A likely structural shift to lower economic growth given the increasingly uncertain outlook for commodity-related investments. RATINGS RATIONALE RATIONALE FOR THE REVIEW FOR DOWNGRADE FIRST DRIVER - DETERIORATING FISCAL AND DEBT METRICS Lower oil prices and weather-related disruption to gold production led to weaker-than-expected revenue in 2015, and we expect pressures on revenue to continue through 2016. Although expenditure cuts in 2016 have been announced in respons