Country Notes: Papua New Guinea - United Nations Economic and Social Commision for Asia and Pacific
UNESCAP Strong economic growth continues • Pacific island developing economies experienced sharp declines in GDP growth in 2009 on account of the global economic crisis. For 2010, t he results appear to be mixed, with only Papua New Guinea , Solomon Islands , and Palau recording improved GDP growth performance. Most of the other Pacific economies virtually stagnated, with the economy of Tonga actually contracting. • Papua New Guinea is the star performer with 7.1% GDP growth in 2010 compared with 5.5% growth in 2009. • The economy benefited from higher commodity prices as a result of a strong demand for its exports (oil, gold, copper, coffee, cocoa, and palm oil). • The economy was also boosted by the commencement of Papua New Guinea liquefied natural gas project. High inflation is a major concern • There was some deceleration in inflation in some major Pacific island