PNG ECONOMY LIKELY TO GROW 10 PERCENT IN 2011
Gas boom driving 7.5 percent growth this year
MELBOURNE, Australia (Radio Australia,Oct. 7, 2010) – The ANZ bank says double digit economic growth is possible for Papua New Guinea in 2011. PNG is expected to grow by 7.5 per cent in 2010.The latest ANZ Bank report, says the boom created by liquid natural gas development could lift that to over 10 per cent in 2011. The report's author, Paul Gruenwald, says the boom is a significant opportunity, but warns, it will only lift living standards for the people of PNG if it is managed well. He says more effort will be needed by the government and the private sector to train the workforce and to improve infrastructure. In the immediate term the Bank says inflation is a risk. It recommends raising interest rates the gradual strengthening of the currency and restrained government spending.