The issue of unemployment can be addressed through investments in the development of Special Economic Zones (SEZs) focusing on downstream processing, which can create thousands of employment opportunities.
That was the massage from Minister for International Trade and Investment, Richard Maru when launching the official website for the 2025 SEZ Summit today in Port Moresby city.
He said the problem has been Papua New Guinea (PNG) relying on the resource sector generating revenue and creating employment; however, as history would show, that has not been the case.
“We now have eight (8) mining and petroleum projects on the run, including the PNG LNG project. Despite that, we have the highest unemployment ever, highest law and order issues, highest national debt.
So, the resource sector has not been the answer. This is a fact, and we cannot continue to deny that. Our biggest policy mistake as a country, and I’m not blaming anyone, is our over reliance on the mining and petroleum sector. I say that with no apologies.
We have to seriously rethink the way we have been doing business over the last fifty (50) years,” said the minister.
In saying that, Minister Maru reaffirmed his strong conviction that the way forward is the development of the Special Economic Zones to bring in direct foreign investments with the aim to go into manufacturing and processing raw goods to sell to overseas markets through downstream processing.
Giving an example, he said the downstream processing of fisheries products alone in a SEZ is capable of creating employment opportunities for more than 5, 000 people.
So far, there are a total of six (6) SEZ projects in line to be granted licenses this year (2025) once they meet all the requirements set by the National Government. The first SEZ granted an operational license was Paga Hill Development, where they are currently building the Paga Hill SEZ project in Port Moresby city.
Meanwhile, Minister Maru has high hopes that the upcoming 2025 SEZ Summit that will be held in August in Port Moresby city, will bring in more investors to invest in the SEZs in PNG.