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PACIFIC ISLANDS BUSINESS INDICATORS

Papua New Guinea
(Moresby)
Exchange Rate: 1 $ Local currency = x $US
Currency

Kina

Calendar Year 1996

0.76

Calendar Year 1997 (used in tables)

0.71

Q1 1998

0.54

% Change 1996 - Q1 1998

-29%

GENERAL

Land Area

462,243 km2

EEZ

3,120,000 km2

GDP

US$5,290 million (1994)

GNP per Capita

US$1,150 (1996)

Human Development Index

0.504 (1993)

LABOUR FORCE CONTEXT
Population (1,000s latest census) 1

4200

Potential Labour Force, age 15-59

2268

Unpaid/underemployed labour force (%) 2
male

77

female

93

Quality of Local Labour Force3
Adult literacy rate (%)

n/a

Enrolment rate secondary schools (%)

n/a

LABOUR FORCE CONDITIONS
Legislated minimum wage

0.40

Average Wage Rates ($per hour)4
Managerial

7.90

Supervisory

5.90

Skilled

5.10

Semi Skilled

3.30

Unskilled

0.60

Normal number of hours work per week

40

No. paid holidays per year

6

Employer Contributions (% wage bill)
Workers Superannuation Fund
compulsory?

Yes

rate (%)

7

Western Compensation Fund
compulsory?

n/a

rate (%)5

n/a

Electricity
connection fee

71

tariff per kilowat hour

0.13/0.10

Water & Sewage
water connection fee ($)

18

sewage connection fee

no charge

sewage rate

128/yr

Telephone
installation fee ($)

40

line/equipment rental rate ($) per year

84

rate per local call ($)

0.12

long distance rates ($) per minute
Japan (Tokyo)

2.50

USA (Los Angeles)

2.50

United Kingdom (London)

2.50

Australia (Sydney)

1.50

New Zealand (Auckland)

1.50

Singapore

1.70

Neighbouring Forum Island countries
Tonga
Samoa
Fiji

1.50

Papua New Guinea
Vanuatu

1.50

Marshall Islands
Tuvalu
Kiribati
Federated States of Micronesia
Solomon Islands

1.50

Cook Islands
Nauru
Palau
Total Cost 1 year of service 1

2608

Internet/E-mail
connection fee

37

rental rate per year

37

no. free hours per month included in rental

n/a

rate per additional hour use

1.80

Total cost 1 year of service 2
Sea Freight (cif) per cubic metre 1
Japan (Tokyo)

266

USA (Los Angeles)

322

United Kingdom (London)

353

Australia (Sydney)

129

New Zealand (Auckland)

130

Singapore

149

Neighbouring Forum Island Countries
Tonga
Samoa

161

Fiji
Marshall Islands
Papua New Guinea
Cook Islands
Solomon Islands

99

Vanuatu

223

Palau
Kiribati
Federated States of Micronesia
Air Freight (cif) per kilogram
Japan (Tokyo)

4.10

USA (Los Angeles)

7.70

United Kingdom (London)

10.70

Australia (Sydney)

2.40

New Zealand (Auckland)

4.30

Singapore

4.10

Neighbouring Forum Island Countries
Tonga
Samoa
Fiji

4.90

Marshall Islands
Kiribati
Federated States of Micronesia
Papua New Guinea
Cook Islands
Solomon Islands

1.90

Vanuatu

2.50

Palau
Land
total area (sq kilometers

461,690

Customary land
Proportion customarily owned (%)

97

Max period for commercial lease (yrs)

99

Average lease rate per acre per annum
agricultural land ($)

100

commercial land ($)

143,700

Free hold land
average purchase price per acre

287,300

Factory Space
average annual rental price per sq ft

10.50

Commercial Banking
Commercial Banks, excl Dev Banks (No)

6

Lending rate range (% per annum)

n/a

Average lending rate (% per annum)

10.50

Personal Tax Rates (Brackets)
No tax
rate of 5%
rate of 6%
rate of 8%
rate of 10%

>1,420

rate of 12%
rate of 15%
rate of 20%

1,420-4,970

rate of 25%
rate of 30%

4,970-12,070

rate of 35%

12,070-42,600

rate of 37%

42,600-56,800

rate of 40%

>56,800

Company Tax Rate (%)
Resident Company
General

25

Mining

35

Petroleum

50

Non-Resident Company
General

48

Mining

35

Petroleum

50

Other Taxes & Fees
Business Gross Receipt tax (%)
GST/Value added tax (%)

-

Sales tax (%)

3

Annual business licence fees ($)

10-1,075

Import Duty Rates (% range)
manufacturing inputs

11

general (excluding cigarettes, liquor et)

11