PRIME Minister James Marape has called for a collaborative approach to tax reform, emphasising the need for a fair and business-friendly tax system that supports economic growth while ensuring government sustainability.
Speaking at the Back to Business Breakfast yesterday, the Prime Minister highlighted the importance of regulatory efficiency, improved tax administration, and fostering a conducive environment for investment and business growth.
The Prime Minister acknowledged that businesses are the backbone of PNG’s economy and called for a review of the tax system to ensure it aligns with national growth objectives.
“I want the business community, as we face our 50th anniversary, to advise us: how do you feel IRC should be running? How do you feel Customs should be functioning? How do you feel Immigration, ICCC, IPA—those key institutions of government—should be operating to ensure that you have the vitality and support to function?” he said.
PM emphasised that the government is open to dialogue and ready to work with business leaders to enhance tax policies, remove unnecessary bureaucratic hurdles, and foster economic expansion.
The Prime Minister stressed that a well-structured tax regime should not stifle business growth but instead encourage investment and entrepreneurship.
“Regulations that we put out—whether at the national government level, provincial government, or city municipal level—must not be inhibitive, restrictive, or constrictive to business but must support business growth,” he stated.
As part of PNG’s broader economic strategy, the government is reviewing:
- Corporate tax structures to maintain competitiveness.
- Customs and import duties to encourage local production.
- Tax incentives for SMEs and priority industries to stimulate economic participation.
The Prime Minister emphasised that the government is focused on creating a business-friendly tax system that allows companies to thrive while ensuring adequate revenue for national development.
Acknowledging concerns from the business community, Prime Minister Marape reaffirmed that the Internal Revenue Commission (IRC), Customs, and other tax agencies must be more efficient, transparent, and responsive.
“If there is anything you can do or advise in the space of regulation, then we are on standby to listen,” he said.
“The government doesn’t know it all, and you out there in society, in business—you pay your taxes, and we function as government.”
He confirmed that Chief Secretary Ivan Pomaleu and key government officials will continue engaging with business leaders to refine taxation policies and administrative processes.
The Prime Minister concluded by reaffirming his commitment to tax reforms that drive economic growth, attract investment, and support national development.
“We want the dialogue between government and the business community to bear fruit, and I give you my fullest commitment that anything that is good for the country is good for this Pangu-led government,” he stated.
“Together, working, we should make PNG a better place for business, investment, and life.”
As PNG approaches its 50th independence anniversary, the government remains committed to building a fair, transparent, and efficient tax system that strengthens economic stability and business confidence.
