The initiative of the National Government to establish the Special Economic Zones (SEZ) in the country, presents some good opportunities for overseas investors to tap into the local market and help boost the economy of the country in the long run.
That was the message expressed by the Minister for International Trade and Investment Mr. Richard Maru, when talking to the heads of all superannuation from right across the pacific that gather this week in Port Moresby for the Pacific Island Investment Forum (PIIF).
Minister Maru the master plan for the SEZ will be announced in May, which should show how the government will be taking the SEZ into the future.
“Economic zones will drive our economic growth especially in the non- renewable sector into the future. This will be a major shift in policy,” said the minister.
Maru said the government is prepared to give incentives like approving tax holidays to potential investors who are interested to invest in the SEZ.
“At this stage we are looking at over twenty- five Special Economic Zones in the country,” Minister Maru announced.
The SEZs should create employment opportunities for many Papua New Guineas, promote downstream processing and with it, improve the economy of the country going forward; however, the minister said the success of the SEZ and the economy of the country will require investors to make it work.
“Our challenge as government now is to provide the infrastructure and the environment to encourage investors to invest in that space,” said the minister.
Minister Maru delivered his speech to the heads of the pacific superfunds because superannuation funds make investments in projects or companies in order to make good dividend each year, which is later paid as interest to their contributing members accounts, on top of their savings. Therefore, this makes them potential investors to PNG.