Private Sector Urged to be Responsible : Fleming
By: Post Courier
PLANNING and focus from both private and public sectors is needed in these tough economic times, says Bank South Pacific chief execuitve officer Robin Fleming.
Mr Fleming in his presentation at the 2017 Leaders’ Summit in Port Moresby reaffirmed that the country’s economic performance was not as robust as previous years.
He said therefore everyone needs to take responsibility of their own businesses.
He said PNG was a commodity-based country and like others was subject to commodity price fluctuations.
He said the alignment of the budget should be based on availability of revenue even if the government still has to maintain some form of expenditure to enable services delivery.
“We need to contextualise our economic outlook and economic outcome, understand how we perform in the context of our region.
“We cannot hide behind other markets.
“We have to be critical is assessing everything we do, a critical assessment is not a negative assessment a critical assessment needs to include positivity,” he said.
Mr Fleming said despite the downturn there were many positive signs in sectors all around PNG.
“Private sectors can’t always blame government.
“We have some responsibility for our own outcomes.
“There has not been any major change in the platform of government.
“All businesses knowing the economic activity will start to find in the PNG LNG has not been quite strong as it has.
“We are all responsible for the planning and focusing for our economic activity.
“Government will do what it can and private sector will have to do what it needs to do,” Mr Fleming said.
He said the issue of foreign exchange remains unchanged adding that with the closure of Ok Tedi Mine due to El Nino the country had lost US$300m which can’t be returned.
“With some proper planning and some cash flow management, understanding what the trade cycle is, understanding the terms of trade most businesses are able to get their payments made in a very small period.
Businesses should now have long term and medium term cycles to work alongside the government and understand opportunities which will present themselves in 2018 and 2019,” he said.