PM vague in his assessment of Economy: Polye

Caption: Opposition Leader Don Polye speaking to the media this week.

By MATTHEW VARI

Sunday, August 16, 2015 (Sunday Chronicle, PNG)

OPPOSITION Leader Don Polye responded to Prime Minister Peter O’Neill to be specific and realistic in his assessment of the country’s economic woes due to a downturn is global crude oil and commodity prices.

While he agreed that the economy was not to be talked down- he said as the leader of the country, actual facts are supposed reveals to enable citizens and business community to be prepared.

“I believe that we should not talk down the economy in any way because that destroys investor confidence and also that gives a wrong perception,” Polye said.

“While that is a duty that we all leaders have- we also have another duty and that is to tell the truth, the actual fact of what is happening in the economy so that the people of this nation are aware how the management of the economy is going.”

“It is not talking down the economy but it is about alerting and cautioning, it is also telling the truth about the affairs of the nation in terms of economic management so that the businesses are focused and the citizens of this nation know what is happening so that they also position themselves.”

His comments come amid recent media reports stating the PM saying that the country is economically stable with growth levels hanging in between 11 to 15% for 2015.

“While we talk about improving the economy, building confidence- we also have a duty to tell the people of this nation, the business community the truth about how economic management is going.”

“The view of the opposition is that what the PM said that PNG is economically safe, that statement is very vague and shallow in its explanation. The Prime Minister needs to come out and articulate what he is saying very clearly,” Mr polye said.

He pointed out that the PM’s growth range in the economy in a fiscal year of 11 to 15% was uncertain.

“You have your first quarter State of the Economy Review made by the Treasurer which indicates that that the growth of the economy has been revised down to 11%. But in the immediate economic outlook treasury has come out and given a completely different figure as well, which where they have further revised the growth down.”

“In 2014 the economy was projected to grow at 21% because of the LNG proceed that were to come in, however, because of the downturn in commodity prices the GDP growth was revised down to 15%.”

“However, you will note that when the treasurer did give that first quarter review he said that the economy was growing 11% and treasury has reviewed to 9 and 10%.”

“If it is 11% then say 11- you cannot say a range of growth from 11 to 15% in one year. What he said could be interpreted that the country is experiencing some multi speed growth as if to put it as various parts of the country growing at various rates.”

Polye added that as the CEO of the nation Prime Minister O’Neill should be clear on figures and statistics.

“That is what the business community needs, what the banks need, and what the citizens of this nation need.”

“The PM failed to tell the nation that the projected growth of this nation is constricting and shrinking its growth. Even if we compare that a 9 to 10% growth is higher in the region the fact is that growth is shrinking.”