NEWS
BOUGAINVILLE BUILDING ECONOMIC FOUNDATIONS FOR ITS POLITICAL FUTURE, TSIAMALILI SAYS
Mahlon WINSTON | October 24, 2026
BOUGAINVILLE BUILDING ECONOMIC FOUNDATIONS FOR ITS POLITICAL FUTURE, TSIAMALILI SAYS

Bougainville is driving targeted investments into agriculture, transport infrastructure, healthcare, and financial inclusion to strengthen its economy and support the region’s political future, Regional Member Peter Tsiamalili Jnr announced today.

Mr. Tsiamalili said the sweeping development work currently underway demonstrates that Bougainville’s political aspirations are being actively pursued alongside rigorous efforts to build structural economic capacity.

“Our farmers are producing, families are saving, businesses are accessing finance, and infrastructure investment is connecting communities to opportunity,” Mr. Tsiamalili said. “We acknowledge that considerable work remains to achieve financial readiness. However, any assessment of our progress must recognize the strong foundations being laid and the vibrant economic activity already taking place.”

To illustrate this growth, Mr. Tsiamalili cited Autonomous Bougainville Government (ABG) figures showing that Bougainville produced approximately 23,500 tons of cocoa in 2025, valued at more than K750 million. An estimated K600 million of this total went directly to farmers, directly supporting household expenses, school fees, local trade, and village businesses.

He also referenced a Bank South Pacific (BSP) Bougainville information brief, which estimated 2024 production at 12,100 tons—representing about 29% of the national total cited in the brief. A separate early-2025 revenue assessment attributed about K540 million, or 44% of the national figure presented, to Bougainville.

Noting that these figures cover different periods and methodologies, Mr. Tsiamalili stated they should be evaluated separately. He emphasized that the ABG’s top priorities remain increasing production, improving quality, expanding local processing, and securing better market access so that more value stays within Bougainville.

The Regional Member highlighted road contracts worth nearly K500 million currently underway through close cooperation between the National Government and Australia’s Transport Sector Support Program (TSSP).

On the North-East Corridor, contractors Raibro and Dekenai are progressing with road sealing towards Wakunai, while Eastern Star is working from Harakawao on the Arawa side toward the connecting section. Progress is also steady on sealing the West Coast Corridor Highway from Siara toward Korepovi, a critical route for western coastal communities. The Tavera Bridge has been completed, with construction on the Pangara Bridge expected to follow.

“These critical connections help farmers move their produce, enable businesses to transport goods efficiently, and allow families to reach essential services,” he said.

In aviation and maritime transit, Mr. Tsiamalili pointed to ongoing upgrades at Aropa Airport by the National Airports Corporation, the ABG’s strategic investment in Bougainville Wings, and the introduction of Mission Aviation Fellowship (MAF) services. Furthermore, a new cargo and passenger vessel is expected to arrive around November to drastically improve maritime links with remote coastal communities and atoll islands, including Mortlock, Tasman, Nuguria, Nissan, and Carteret.

Healthcare investment forms another pillar of Bougainville’s development agenda. Mr. Tsiamalili cited the construction of a Level 3 hospital at Soraken in North-West Bougainville, a Level 4 hospital at Buin in the south, and a premier Level 7 specialist hospital at Arawa in Central Bougainville.

The Arawa specialist facility is being delivered through an ABG partnership with Lloyds Panguna Metals and Energy Limited. Mr. Tsiamalili described it as a vital investment in specialist care and long-term health system capacity. However, he cautioned that physical infrastructure alone is not enough.

“Buildings must be supported by trained personnel, equipment, medicines, reliable utilities, and sustainable operating budgets,” he stressed. “A healthy population is essential to a productive economy.”

Preparatory work for the redevelopment of the historic Panguna mine has commenced while negotiations continue toward a final contract. Mr. Tsiamalili affirmed his support for Lloyds Panguna Metals as the ABG’s preferred redevelopment partner, pointing to the company’s upfront investments in local infrastructure, including the Arawa hospital.

He emphasized that any final agreement must adhere to strict principles: “We must recognize commitment through action. At the same time, the final agreement must establish crystal-clear obligations, protect customary landowner interests, uphold strict environmental standards, and deliver lasting, generational benefits for our people.”

To empower grassroots economic participation, the ABG's partnership with Mama Bank is actively helping women, farmers, and emerging entrepreneurs save and access credit. By April 2025, public reporting recorded 2,503 active accounts, more than K837,000 in savings, and approximately K1.054 million in loans disbursed through the bank in Bougainville.

Mr. Tsiamalili also shared BSP data tracking cash movements between Community Development Committees and the bank’s Buka and Arawa branches from January to September 2025. The data recorded K45.25 million moving from committees to branches, and K52.04 million moving from branches back to the committees. He clarified that these figures represent banking liquidity and cash velocity, rather than gross domestic product (GDP) or new net income but noted they demonstrate a strong willingness among citizens to engage with the formal financial system.

To further boost industrial capacity, Mr. Tsiamalili announced a Special Economic Zone initiative at Karola alongside proposed commercial developments at Soraken Plantation, both designed to attract foreign investment, support downstream processing, and generate local jobs.

Concluding his address, Mr. Tsiamalili called on young people and local communities to maintain a peaceful, welcoming environment to foster responsible investment. He urged citizens to protect public infrastructure, respect customary rights, and resolve grievances through dialogue.

He extended his gratitude to President Ishmael Toroama and the ABG, the Marape–Rosso National Government, development partners, financial institutions, and local farmers and businesses.

“Our progress must be measured through completed projects, functioning services, increased production, sustainable businesses, employment, and stronger public revenue,” Mr. Tsiamalili said. “Our people have clearly expressed their political aspirations. Our responsibility now is to build the economic capacity to sustain it.”