By MIRIAM MALAWA
PAPUA New Guinea’s Gross Domestic Product (GDP) at constant prices grew by 3.0% in 2023, primarily fueled by increased government activity, according to a report released by the National Statistical Office (NSO).
The comprehensive report, launched in Port Moresby, outlines the key sectors contributing to PNG’s economic performance over the past year and highlights areas of both growth and contraction.
National Statistician John Aseavu Igitoi expressed satisfaction with the release of the GDP figures, which he described as essential indicators of the nation’s economic health and resilience.
“These figures, calculated by the NSO, reflect the size and vitality of our economy and serve as essential indicators for every citizen of PNG,” Igitoi stated.
He noted the GDP’s importance in shaping informed policy decisions, tracking economic progress, and identifying priority areas for development.
According to NSO the 3.0% growth in PNG’s GDP at constant prices — which measures the actual volume of goods and services produced, excluding price changes — was largely attributed to a 9.7% increase in Public Administration and Defence and a 15.5% rise in the Information and Communication sector. Other notable contributors included:
Wholesale and Retail Trade: Increased by 2.8%
Construction: Grew by 3.7%
NSO stated that ddespite the overall growth, the Mining and Quarrying sector saw a 1.6% decline, partially offsetting gains in other sectors.
The report further revealed that while PNG saw growth in production volumes, the GDP at current prices, which includes price fluctuations, showed a contraction of K800 million — a 0.7% decrease from 2022. This drop was attributed to declining prices, particularly in the Liquefied Natural Gas (LNG) sector, which overshadowed the modest 3.0% increase in production volume. Significant shifts in current price GDP included:
Mining and Quarrying: Declined by 14.7%, a loss of K5,217 million
Public Administration and Defence: Rose by 12.7%, an increase of K642 million
Wholesale and Retail Trade: Up 5.1%, an increase of K518 million
Administrative and Support Services: Increased by 5.0%, adding K405 million
Construction: Grew by 6.1%, contributing K401 million
Igitoi acknowledged the challenges of gathering reliable information across diverse sectors but reaffirmed the NSO’s commitment to delivering high-quality statistics that support effective governance, informed policy-making, and strategic planning.
The Minister for Administrative and Support Services also congratulated NSO stating that the report is a testament to the dedication and hard work of our economists, statisticians, and all those involved in compiling the comprehensive report.
