AGP Executive Report

Football & Talent: Hekari United striker Jack Kema is profiled as a beach-discovered finisher, now starring as Hekari chase Oceania Champions League glory and open the Club World Cup in Abu Dhabi. Vanilla Market Pressure: The global vanilla trade remains stuck in oversupply and historic price lows despite recent tariff relief, with more large crops expected in 2026 and no coordinated mitigation plan in key producing areas including PNG. Governance & Transparency: NEFC joined stakeholders to validate PNG’s National Right to Information policy, backed by the EU, aiming to improve access to public information. Budget Reality Check: A K30.9b budget is flagged for an implementation crisis, with cash-flow delays and execution gaps undermining delivery of services. Digital & Accountability: The Bilum Digital Platform is presented as a way to make SIP spending traceable and improve oversight. Education & Connectivity: UPNG’s Starlink and AI-focused IT programmes are set to expand learning access beyond Port Moresby. SME Growth: A young entrepreneur’s neem-based hair and skincare brand lands a retail partnership with City Pharmacy. Mining & Finance: Newmont received LunR Royalties shares via a dividend-in-kind, lifting its beneficial ownership stake. Compliance Warning: Faith-G Credit Finance is reported as not licensed by PNG’s Securities Commission. Infrastructure: Kagamuga Airport in Mt Hagen moves into runway upgrades to position the Highlands as an agriculture export hub for Asia-Pacific. Trade & Diplomacy: India and PNG reviewed bilateral cooperation across development, economic ties and Indo-Pacific issues in virtual Foreign Office Consultations. Sports Infrastructure: Kalabond Oval redevelopment in East New Britain is about 60% complete, targeting elite rugby league readiness.

Right to Information push: The NEFC joined government, EU-backed partners and civil society to validate PNG’s National Right to Information policy, aiming to strengthen openness and accountability. Budget delivery pressure: A K30.9bn 2026 budget is flagged for an implementation crisis, with cash-flow delays, revenue gaps and weak execution risking funds not reaching schools, health services and rural programmes. Digital accountability: The Bilum Digital Platform is being positioned to make Service Improvement Programme kina traceable in real time, improving oversight of project delivery. Education and connectivity: UPNG is moving ahead with Starlink and new IT programmes to expand access for remote learners and build skills in AI, cyber security and fintech. Infrastructure for agriculture: Kagamuga Airport in Mt Hagen is set for a K39.4m runway upgrade to support bigger aircraft and turn the Highlands into an Asia-Pacific agriculture export hub. Finance and compliance: NMCA says serious flaws were found in K57.2bn Public Investment Programme spending under Marape, while the Securities Commission warns Faith-G Credit Finance is not licensed. Trade and partnerships: India and PNG held virtual Foreign Office Consultations, reviewing development, economic cooperation and Indo-Pacific coordination. Business growth: A young entrepreneur’s neem-based hair and skincare brand has entered mainstream retail via City Pharmacy shelves. Sports facilities: Kalabond Oval redevelopment in East New Britain is about 60% complete, targeting elite rugby league readiness.

PNG–India Diplomacy: India and Papua New Guinea held their second Foreign Office Consultations (virtual) reviewing development partnership, political engagement, economic cooperation and cultural ties, with both sides saying they’re happy with the relationship’s “positive trajectory” and agreeing to deepen collaboration across sectors. Digital Accountability: The Bilum Digital Platform is being pushed to make Service Improvement Programme (SIP) spending more traceable, with real-time project information and monitoring aimed at improving transparency and accountability. Budget Pressure Point: A review of Public Investment Programme spending says K57.2bn was appropriated over seven years, but only K32bn in warrants were issued and K38.1bn was spent—highlighting implementation and cash-flow weaknesses that can delay key services. Education & Connectivity: UPNG plans Starlink and new IT programmes to connect remote learners and expand AI, cyber security and fintech training. Aviation for Exports: Kagamuga Airport in Mt Hagen is getting a K39.4m runway upgrade as PNG targets the Highlands as an agriculture export hub for Asia-Pacific markets. Mining Corporate Move: Newmont says it received LunR royalty shares via dividend-in-kind from Lundin Gold, lifting its beneficial ownership to about 13.32%. Finance Sector Watch: Securities Commission warns Faith-G Credit Finance and Investing Limited is not licensed in PNG. Business Growth Story: A young SME, Doris’s Neem Products, lands a retail partnership with City Pharmacy, moving from social media sales into mainstream shelves.

Public Finance Watch: NMCA flags serious flaws in the Marape years’ Public Investment Programme, saying only K32b in warrants were issued against a revised K51.4b allocation and spending reached K38.1b—raising accountability and value-for-money concerns. Service Delivery Accountability: Rural and Economic Development Minister Joseph Lelang pushes the Bilum Digital Platform to make SIP spending traceable in real time and improve oversight. Budget Implementation Pressure: A K30.9b record budget is criticised for cash-flow delays, revenue shortfalls and diversion from priorities, warning that big numbers won’t help without delivery discipline. Digital & Education Push: UPNG plans Starlink and new IT programmes to connect remote students and expand AI, cyber security and fintech training. Banking & Compliance: Securities Commission warns Faith-G Credit Finance and Investing Limited is not licensed. Infrastructure & Trade: Kagamuga Airport in Mt Hagen gets a K39.4m runway upgrade aimed at turning the Highlands into an Asia-Pacific agriculture export hub. Business Growth: A young entrepreneur’s neem-based hair and skincare brand lands a City Pharmacy retail partnership, moving from social media sales into mainstream shelves. Regional Cooperation: PNG and Australia review progress on digital partnership initiatives, including connectivity and cybersecurity.

Budget Watch: PNG’s record K30.9b budget is under pressure as cash-flow delays, revenue shortfalls and weak implementation keep widening the gap between approved spending and delivery. Public Finance Accountability: NMCA flags serious flaws in K57.2b Public Investment Programme spending under Marape, with warrants and actual expenditure not lining up—pushing calls for tighter tracking of every kina. Digital Governance: The Bilum Digital Platform is set to make Service Improvement Programme funds traceable in real time, aiming to lift transparency and accountability. Education & Tech: UPNG plans Starlink and new IT programmes to connect remote learners and expand AI, cyber security and fintech skills. Infrastructure for Exports: Kagamuga Airport upgrades (K39.4m runway works) target Mt Hagen as an agriculture export hub for Asia-Pacific markets. Business & Jobs: Doris’s Neem Products lands a retail partnership with City Pharmacy, moving from social media sales into mainstream shelves. Transport Safety: Government is urged to tighten rules on used vehicle imports to curb unsafe, hard-to-maintain cars. Finance Sector Compliance: Faith-G Credit Finance is reported as not licensed by PNG’s Securities Commission, raising consumer risk concerns. Disaster Readiness: TISA Bank joins disaster preparedness training with NDC and IOM to strengthen business continuity. Sports & Community: Kalabond Oval redevelopment is 60% complete, positioning East New Britain for higher-level rugby league matches.

IMF Funding Boost: The IMF has approved about $163m for Papua New Guinea after completing programme reviews, unlocking $82m immediately and a further $81m under climate-focused resilience support. Digital Finance Upgrade: Comrade Trustee Services has gone live with Smartstream’s Air AI reconciliation system, cutting processing from up to eight hours to under five minutes for PNG’s Defence Force Retirement Benefit Fund. Energy & Investment Pipeline: The Mailu-1 ultra-deepwater exploration well is set to be drilled within two months, with TotalEnergies and PETRONAS aiming to draw new offshore investment. Agriculture & Climate Readiness: JAMSTEC says El Niño has set in with a likely positive IOD by July, while PNG’s highlands are placed under El Niño Watch. Sports & Local Economy: Kalabond Oval redevelopment in East New Britain is 60% complete (K10m upgrade), and PNGFA warns football faces a major sponsorship setback. Media & Skills: PNG ICT and ITI sign a five-year AI and digital skills MoU, and PNG’s PlantwisePlus plant clinics are supporting farmers with pest and disease advice. Governance & Elections: Marape orders ministers and provinces to publish detailed seven-year performance reports, as PNG heads toward the 2027 election.

Malaysian investment push: Prime Minister James Marape welcomed Malaysian interest to expand PNG’s oil palm, livestock and downstream processing, saying it could create jobs and boost food security, with talks involving the Malaysian Palm Oil Board and New Britain Palm Oil. Agriculture support: The PNG Biosecurity Authority is running PlantwisePlus “plant clinics” at Boroko Market to help farmers tackle pest and disease issues, with CABI-trained plant doctors and partners including CIC and provincial agriculture departments. IMF funding boost: The IMF approved about $163m for PNG after programme reviews, unlocking roughly $82m under the EFF/ECF and $81m under the Resilience and Sustainability Facility. Bougainville on the parliamentary agenda: Marape urged Parliament to handle the 2019 Bougainville referendum result with maturity and respect, as the formal process moves into decision stage. Digital and AI skills: DICT and the International Training Institute signed a five-year AI and digital skills partnership, aiming to build national ICT capability through training, internships and AI use cases. Energy exploration: TotalEnergies and PETRONAS are preparing the ultra-deepwater Mailu-1 well offshore Central and Milne Bay, with consultations on timelines, safeguards and local engagement. Sports funding squeeze: PNGFA president John Kapi Natto says lack of sponsorship is a major setback for the Premier Soccer League’s 20th anniversary season. Finance sector tech: Comrade Trustee Services went live with Smartstream’s Air to automate reconciliation for the Defence Force Retirement Benefit Fund, cutting processing from hours to minutes. Fisheries controversy: Outrage in Manus follows a video alleging dolphin deaths in a purse seine catch, with the fisheries minister saying investigations will lead to heavy penalties. Media loss: The Media Council of PNG mourned Genesis Ketan, a long-time trainer and media leader, after her passing.

Domestic Aviation & Payments: PNG Air has partnered with Post PNG so customers can book and pay for flights at Post outlets, starting in Port Moresby and rolling out nationwide. Digital Skills & AI: DICT and the International Training Institute (ITI) signed a five-year MoU to build PNG’s AI and digital capability through curriculum upgrades, internships, corporate training and joint AI use cases. Government Accountability Push: Prime Minister James Marape has ordered ministers, agencies and provinces to publish detailed seven-year reports on spending, achievements and challenges. Bougainville Referendum Process: Marape urged Parliament to handle the 2019 Bougainville referendum result with maturity and respect as the formal parliamentary stage begins. Energy Investment Outlook: The Mailu-1 ultra-deepwater exploration well is set to be drilled within two months, with TotalEnergies and PETRONAS aiming to unlock new foreign investment and jobs. Financial Abuse Response: BPNG launched Empower Finance Kibung to help institutions tackle financial abuse and product misuse through surveys, a signed code and training. Agribusiness Expansion: Marape welcomed Malaysian interest in scaling oil palm, livestock and downstream processing investments via public-private partnerships. Tourism Trade Momentum: SPTE 2026 in Fiji reported record participation and stronger PNG representation, with more B2B meetings and higher seller conversion. Infrastructure & Business Space: The K400m Noble Centre in Port Moresby is set to open tomorrow, adding 92 office units with much already occupied.

Bougainville Process: Prime Minister James Marape urged Parliament to handle the 2019 Bougainville referendum result with maturity and respect, saying it is constitutionally mandated and Parliament must move fast to table and consider it. Local Politics & Governance: Bougainville MP Peter Tsiamalili Jnr pushed for a sessional order that sets the procedure first, arguing lawmakers should agree on the pathway before debating the referendum outcome. Agribusiness Investment: Marape welcomed surging Malaysian interest to expand oil palm, livestock and downstream processing, framing it as a jobs and food-security push for the Ramu and Sepik plains. Business & Property: The K400m Noble Centre in Port Moresby is set to open tomorrow, with most office units already occupied. Finance & Inclusion: CEFI’s Financial Literacy Training graduates were tasked to drive financial inclusion nationwide. Youth Programs: Eastern Highlands became the first Highlands province to complete NYES socialisation, launching online youth registration in Kainantu. Digital Education: UPNG is moving toward an AI-powered university, piloting Starlink for remote learning and reporting growing student use of AI tools. Public Safety: A government performance report warns prison overcrowding is worsening health risks and security pressures.

Digital Education & Connectivity: UPNG is positioning itself as Papua New Guinea’s first AI-powered university, investing in digital infrastructure and piloting Starlink for remote learning, while a UPNG student survey finds AI is already part of daily study habits. Youth & Jobs Pipeline: Eastern Highlands became the first Highlands province to complete the NYES 2025–2029 socialization program, launching online youth registration in Kainantu and setting up local rollout plans. Investment & Business Links: The 5th EU–PNG Business Forum in Port Moresby drew 300+ participants and pushed new trade and investment partnerships. Aviation & Mobility: PNG Air begins its fleet renewal with the first ATR 42-600 delivery and plans to move toward an all-ATR fleet to improve regional connectivity. Mining & Exploration: K92 Mining will ramp up exploration investment by up to K150m at Arakompa after strong drill results. Banking & Inflation Watch: Bank of Papua New Guinea is monitoring an oil supply shock and says it may take policy action if inflation pressures rise. Property Development: Baosen China Town is advancing a major mixed-use project in Port Moresby’s Five-Mile precinct, including retail, apartments, offices and a hotel. Climate-Resilient Growth: Australia-backed Climate FIRST work helped Morobe validate its climate-resilient green growth strategy with a pipeline of bankable projects. Green Finance Push: PNG’s Green Finance Summit 2026 drew 240 delegates and highlighted growing private-sector appetite for sustainable finance. Policy Tension: PNG Tourism Promotion Authority rejects the new international Green Fee, saying it was introduced without consultation and could hurt visitor growth.

Aviation & Connectivity: ATR has kicked off PNG Air’s fleet renewal with the first ATR 42-600 from a three-aircraft order, starting a plan to grow from five to 16 ATRs and retire older Dash 8s—while Cambodia Airways also takes its first ATR 72-600, signalling wider regional demand for reliable turboprop links. EU–PNG Trade & Investment: The 5th EU–PNG Business Forum in Port Moresby drew 300+ participants and 170+ B2B/B2G meetings, with PM James Marape pushing for a stable, predictable investment climate and sustainable growth. Digital Government Push: PNG DataCo signed major Morobe agreements to expand telecom access and roll out a cloud-enabled digital government platform, including an integrated ERP system to modernise services. Mining & Exploration: K92 Mining plans to invest up to K150m in exploration, citing strong Arakompa drill results as it ramps up the hunt for future resources. Central Bank Watch: The Bank of Papua New Guinea is monitoring oil supply shock impacts and says it may take policy action if inflation pressures build, while keeping the KFR at 5%. Climate-Resilient Growth: Australia-backed Climate FIRST support helped Morobe validate its climate-resilient green growth strategy, building a pipeline of bankable projects across agriculture, transport and water. Property Development: Baosen China Town is advancing a major Five-Mile mixed-use project, pitching retail, apartments, a five-star hotel and office towers through 2028. Environment & Community: Ok Tedi marked World Environment Day with 900+ tree plantings and sustainability initiatives, while SP Brewery donated operational tents to Highlands police for border and contraband monitoring.

Green Finance: PNG’s Green Finance Summit 2026 wrapped up with 240 delegates and fresh investment commitments, with Bank of Papua New Guinea Governor Elizabeth Genia saying the country is well placed to attract international capital while building a more resilient economy. Energy & LNG: Prime Minister James Marape led a delegation to Kikori to inspect the venue for next month’s Papua LNG Development Forum, stressing the project as a cornerstone for a decade-long pipeline of petroleum developments. Governance & Business Climate: PNG CORE has appointed Richard Kassman as executive director, tasking him with strengthening policy advocacy and stakeholder engagement for the resources and energy sector. Marine Economy: Fisheries and Marine Resources Minister Jelta Wong says PNG is positioned to use marine biodiversity to grow eco-tourism and jobs after ratifying the BBNJ agreement. Infrastructure & Delivery: Parliament heard that the 2019-2025 infrastructure push has spent about K11.93b of K17.5b allocated, while a separate report flags the persistent gap between budget promises and on-the-ground delivery. Fuel Relief: Fuel prices for June will stay at March 2026 levels under the Government’s Fuel Relief Assistance, with compliance monitoring involving ICCC and key agencies. Community & Policing: SP Brewery donated six operational tents to the RPNGC Highlands command to boost border checkpoint operations and visibility against contraband movement. Digital Security: Pacific legal experts in Fiji are finalising a regional handbook to strengthen cybercrime laws, including PNG’s legal response to rising digital threats.

Leadership & Energy Sector: PNG CORE appoints Richard Kassman as executive director, bringing 40+ years across energy, governance and stakeholder engagement. LNG & Regional Development: PM James Marape leads a delegation to Kikori to inspect the Papua LNG Development Forum venue and align with Gulf leaders ahead of next month’s event. Budget & Delivery Reality Check: The Government’s K30.9b budget targets growth via infrastructure and services, but reporting flags the familiar gap between allocations and actual spending reaching communities. Fuel Prices: Fuel relief keeps June pump prices unchanged in Port Moresby (petrol K4.39/l, diesel K4.44/l, kerosene K4.09/l). Infrastructure Push: Marape says K11.93b has been spent on roads, bridges, airports and other works since 2019, with Connect PNG driving the next phase. Water & Health Systems: EIB Global and EU-backed financing aims to expand drinking-water networks for hundreds of thousands, while health authorities train internal auditors to strengthen controls and frontline delivery. Resource Revenues: Porgera dividends reach about K1.7b, following PNG’s 51% equity position in the joint venture. Environment & Skills: NCD marks Environment Day with tree planting, new marine science scholarships, and private-sector mangrove support. Disaster Watch (Regional): A 7.8 quake and tsunami warnings hit the southern Philippines, with evacuations and casualties reported across the region including PNG in advisories.

Fuel Relief Watch: PNG fuel prices for June will stay at March levels under the Government’s Fuel Relief Assistance, with Port Moresby petrol at K4.39/litre, diesel K4.44/litre and kerosene K4.09/litre. Education Spend: The tuition fee subsidy has now reached 2.5 million students, with K877 million invested since the Marape-Rosso government took office, alongside upgrades to classrooms and science labs. Health Controls: PNG is training internal auditors across 21 Provincial Health Authorities to strengthen risk-based financial oversight so more funding reaches frontline services. EU Water Push: The EU and EIB backed a Water Wise Communities deal worth over K209 million to improve drinking-water access for an extra 400,000 people, including Port Moresby. Marine Conservation: PNG plans a Western Manus Marine Protected Area banning fishing over about 200,000 km², with legal steps next. Mining Update: K92 Mining expands high-grade Arakompa zones ahead of a maiden resource estimate, reporting new drilling results. Governance Reform: Deputy PM John Rosso says ILG registration reform is underway to cut delays and reduce abuse in a process MPs call lengthy and costly. Digital Trust for Media: ICT officials say Digital Public Infrastructure could help verify journalists and improve trusted information and revenue models.

Fuel Relief Watch: PNG’s consumer watchdog says June fuel prices will stay at March 2026 levels under the Government’s Fuel Relief Assistance, keeping Port Moresby petrol at K4.39/litre, diesel at K4.44/litre and kerosene at K4.09/litre, with compliance monitoring by ICCC, Customs, IRC, BPNG and Treasury. Education Spend: Prime Minister James Marape reports K877 million invested in the tuition fee subsidy since taking office, with 2.5 million students benefiting, plus HELP support and upgrades to classrooms, labs, libraries and teacher accommodation. Health Controls: PNG is training internal auditors across all 21 Provincial Health Authorities and Bougainville to strengthen risk-based financial oversight, supported by Australia, New Zealand and Gavi. Aviation Reform: ICCC recommends independent economic regulation for airport operator NAC and air navigation provider NiuSky Pacific to improve pricing transparency, service quality and investment coordination. Water Investment: EU and EIB funding backed by Global Gateway will expand drinking-water networks, targeting an extra 400,000 people with concessional loan and grants. Green Finance & Trade: Green Finance Summit 2026 drew 240 delegates, while the EU–PNG Business Forum in Port Moresby pushed renewable energy, water security, digital transformation and export-ready partnerships. Resource & Mining: K92 expands high-grade Arakompa zones ahead of a maiden resource estimate, and Marape points to a decade-long growth pipeline led by Papua LNG, Wafi-Golpu and P’nyang. Marine Conservation: PNG will protect about 200,000 km² of ocean in western Manus with a total fishing ban, moving toward national legal backing. Land Administration: Deputy PM John Rosso admits ILG registration is still too lengthy and says reforms are underway to reduce delays and abuse.

Economic Outlook: Prime Minister James Marape says PNG is entering a 10–15 year stretch of sustained growth as Papua LNG, Wafi-Golpu and P’nyang drive investment, jobs and government revenue. EU Investment & Water Security: At the 5th EU–PNG Business Forum, the EU and EIB backed the Water Wise Communities Project with a €25m concessional loan plus a €16.4m grant, targeting safer drinking water for an extra 400,000 people. Marine Conservation: PNG will protect about 200,000 km² of ocean in western Manus with a total fishing ban, moving toward legal status under the Melanesian Ocean Corridor. Aviation Regulation: PNG’s ICCC recommends independent economic regulation for NAC and NiuSky Pacific to improve pricing transparency, service quality and investment coordination. Digital Trust for Media: ICT officials say Digital Public Infrastructure—digital identity, payments and secure data exchange—could help curb fake accounts and strengthen trusted information. Mining & Drilling: K92 reports expanded high-grade drilling at Arakompa ahead of a maiden resource estimate mid-2026. Land Administration Reform: Deputy PM John Rosso admits ILG registration is still too lengthy and says reforms are underway to reduce delays and abuse. Environment & Community: NCD Governor Parkop announces six environmental science scholarships; 321 Group backs mangrove planting; Port Moresby Nature Park launches its Trash to Treasure festival.