PNGBLOGS

by SAM KOIM Is Political stability the main driver of investor confidence? I have been led, and I believe many are, to believe that political stability is needed to give investor confidence and growing the economy. This misconception of synonymising political stability to economic stability has it’s seldom appearances in public grandstanding and political discourses. This is what I've discovered in debunking this illusion. Political stability talks about the length of time a government is in power. In terms of investor confidence, it means the investors can count on the current (negotiating) government for durability and certainty of the current position. Yes, in countries and time periods with a high propensity of government collapse (political instability), growth is significantly lower than otherwise but is it really political instability that really caused decline in growth? Economists may articulate it more clearly than I, but I gather that economic s

by LUCAS KIAP IS PETER O’NEILL GOING TO DO BETTER THAN SIR MICHAEL SOMARE? Ten (10) years political stability under NA party and SIR MICHAEL SOMARE has resulted in the disappearance of billions of kina (from high commodity and mineral prices) without traces. Will political stability under PNC party and PETER O’NEILL look after the PNG LNG revenues well? Prime Minister of Papua New Guinea Peter O’Neill and his PNC party are becoming more powerful than ever in the political history of this small country as more and more MPs from other political are abandoning their parties to join the ruling party and others are lining themselves up for the PM to marry them into his ruling PNC party. Any possible chances of a successful vote of no confidence against the PM are now seem unlikely, at least for now. The movement of MPs from other political parties into the major ruling party is not happening for the first time in the history of this country. When the government of Sir Michael an