Papua New Guinea’s Prime Minister James Marape has praised Treasurer Ian Ling-Stuckey for delivering what he described as “one of the most economically transformative Budgets in the history of our nation,” as Parliament received the 2026 National Budget on Tuesday.
Speaking on the floor of Parliament, Marape said the Budget coincides with the country’s 50th Independence Anniversary and the launch of the Reset@50 agenda, marking a new chapter of economic discipline, national renewal, and growth-focused development. He welcomed the record K30.9 billion Budget, supported by expected revenues of K29.3 billion, noting that PNG’s fiscal position has strengthened despite ongoing global uncertainties.
“I commend Treasurer Ling-Stuckey for another responsible, well-structured, and forward-looking Budget. This is not just another financial plan—it is a powerful statement of confidence in our country’s future,” Marape said.
According to the Treasurer’s Budget Speech, PNG is experiencing its longest sustained period of real non-resource sector growth, with annual growth above 4% for six consecutive years from 2021 to 2026, a first in the nation’s history. Growth rates have been recorded at 4.2% in 2021, 5.9% in 2022, 4.7% in 2023, 4.5% in 2024, 4.6% in 2025, and 4.5% in 2026. The Prime Minister said these figures show that “PNG’s economic engine is no longer dependent on resource-sector booms alone. We are building a diversified, resilient, and broad-based national economy.”
The Budget also confirmed that real living standards, measured by GDP per capita, have recovered from declines between 2014 and 2019. GDP per capita is projected at K8,949 in 2025, surpassing 2014 levels, and rising to K9,137 in 2026. “For years our people endured falling living standards. Today, the story has changed—families are beginning to feel the benefits of sustained economic expansion and targeted Government interventions,” Marape said.
Fiscal indicators show a deficit of 1.1% of GDP in 2026, down from 8.9% in 2020, while the debt-to-GDP ratio is expected to fall from 48.4% in 2025 to 45.5% in 2026. PNG’s economy is projected to reach K145 billion in 2026, up from K133 billion in 2025, and more than 80% larger than the K79 billion economy of 2018, with government targets of K200 billion by 2030, K300 billion by 2035, and K1 trillion by 2048.
Inflation has remained low, with rates of 0.6% in 2024, negative 2.2% in the June quarter of 2025, and a projection of 4.2% for 2026. Formal employment has increased by 2.6% to June 2025, while rural job creation has risen due to strong agricultural commodity prices. Marape said low inflation “means our people can finally breathe. We are protecting household purchasing power and ensuring wage earners retain value in their incomes.”
Describing the Budget as a defining document for the Reset@50 era, Marape concluded: “This Budget is a declaration that Papua New Guinea is no longer a nation waiting for prosperity—we are building prosperity. As we enter our next 50 years, this Government commits to continue steering PNG toward stability, opportunity, and inclusive growth.”