10 May 2012

ADB says developing the PNG private sector the key to inclusive growth

7:13 pm on 10 May 2012

A new Asian Development Bank report calls for the nurturing of the Papua New Guinea private sector and improvements to public services to foster more inclusive growth.

The ADB's country director in PNG, Charles Andrews, says only four percent of the population works in the formal private sector and efforts are needed to bring in those on the outside.

He says one of the areas the ADB is helping in is in capital raising.

Mr Andrews says recent legislative changes allow moveable goods to be used for collateral for the first time.

"So that prospective small businesses and other small businesses can in fact raise capital whereas they found it hard to do so in the past. We are working with the government to improve the efficiency of state owned enterprises so those enterprises can be sold off to the private sector and we are working with the government on public/private partnership legislation.."