Data at glance of Papua New Guinea - average on period

variable 1980-1989 1990-1999 2000-2007 2008-2009 2010-2019 2022 2023 2024 2025 2026
real gdp growth 1.48 4.82 2.95 8.45 3.97 3.8 3.9 5.6 3.8 3.8
CPI % 5.83 9.6 6.74 6.0 5.04 2.3 0.6 4.4 5.0 4.4
Unemployment rate - - - - - - - - - -
Debt/GDP % - 41.17 34.39 19.5 30.69 53.9 53.3 52.1 49.2 46.4
Current account balance/GDP % -6.51 1.6 2.84 -10.45 4.19 9.1 15.6 14.7 13.7 11.6

Data derived from World Economic Outlook Database. To see main macroeconomic indicator in graphs click here

History

Papua New Guinea (PNG) occupies the eastern half of the island of New Guinea; the western half is part of Indonesia. PNG was first settled between 50,000 and 60,000 years ago. Its harsh geography of mountains, jungles, and numerous river valleys kept many of the arriving groups isolated, giving rise to PNG’s ethnic and linguistic diversity. Around 500 B.C., Austronesian voyagers settled along the coast. Spanish and Portuguese explorers periodically visited the island starting in the 1500s, but none made it into the country’s interior. American and British whaling ships frequented the islands off the coast of New Guinea in the mid-1800s. In 1884, Germany declared a protectorate -- and eventually a colony -- over the northern part of what would become PNG and named it German New Guinea; days later the UK followed suit on the southern part and nearby islands and called it Papua. Most of their focus was on the coastal regions, leaving the highlands largely unexplored. The UK put its colony under Australian administration in 1902 and formalized the act in 1906. At the outbreak of World War I, Australia occupied German New Guinea and continued to rule it after the war as a League of Nations Mandate. The discovery of gold along the Bulolo River in the 1920s led prospectors to venture into the highlands, where they found about 1 million people living in isolated communities. The New Guinea campaign of World War II lasted from January 1942 to the Japanese surrender in August 1945. After the war, Australia combined the two territories and administered PNG as a UN trusteeship. In 1975, PNG gained independence and became a member of the Commonwealth. Between 1988-1997, a secessionist movement on the island province of Bougainville, located off the eastern PNG coast, fought the PNG Government, resulting in 15,000-20,000 deaths. In 1997, the PNG Government and Bougainville leaders reached a cease-fire and subsequently signed a peace agreement in 2001. The Autonomous Bougainville Government was formally established in 2005. Bougainvilleans voted in favor of independence in a 2019 non-binding referendum. The Bougainville and PNG governments are in the process of negotiating a roadmap for independence, which requires approval by the PNG parliament.

Environment

Area: 462,840 sq km km2

Climate: tropical; northwest monsoon (December to March), southeast monsoon (May to October); slight seasonal temperature variation

Natural resources: gold, copper, silver, natural gas, timber, oil, fisheries

Ethnic characteristics

Groups: Melanesian, Papuan, Negrito, Micronesian, Polynesian

Languages:

Religions: Protestant 64.3% (Evangelical Lutheran 18.4%, Seventh Day Adventist 12.9%, Pentecostal 10.4%, United Church 10.3%, Evangelical Alliance 5.9%, Anglican 3.2%, Baptist 2.8%, Salvation Army 0.4%), Roman Catholic 26%, other Christian 5.3%, non-Christian 1.4%, unspecified 3.1% (2011 est.)

Government

Capital: Port Moresby

Government type: parliamentary democracy under a constitutional monarchy; a Commonwealth realm

Executive branch

Chief of state: King CHARLES III (since 8 September 2022); represented by Governor General Grand Chief Sir Bob DADAE (since 28 February 2017)

Head of government: Prime Minister James MARAPE (since 30 May 2019)

Legislative branch

Description: National Parliament - unicameral

Economic Overview

lower-middle-income Pacific island economy; primarily informal agrarian sector; natural-resource-rich and key exporter of liquified natural gas; collapse in betel nut prices, tighter monetary policy, and improved foreign-exchange availability contributing to declining inflation; challenges include lack of progress in infrastructure, agricultural reform, and corruption

Industries

oil and gas; mining (gold, copper, and nickel); palm oil processing; plywood and wood chip production; copra crushing; construction; tourism; fishing; livestock (pork, poultry, cattle) and dairy farming; spice products (turmeric, vanilla, ginger, cardamom, chili, pepper, citronella, and nutmeg)

GDP by sector: Agriculture: 17.2% (2024 est.), Industry: 37.2% (2024 est.), Services: 41.5% (2024 est.)

Trade

Export partners: China 28%, Japan 25%, Australia 17%, Taiwan 8%, India 4% (2023)

Export commodities: natural gas, gold, copper ore, palm oil, nickel (2023)

Import partners: Australia 27%, China 24%, Singapore 15%, Malaysia 9%, Japan 4% (2023)

Import commodities: refined petroleum, trucks, rice, plastic products, excavation machinery (2023)

Geography

Oceania, group of islands including the eastern half of the island of New Guinea between the Coral Sea and the South Pacific Ocean, east of Indonesia

Defence

Military expenditure: 2024: 0.3% of GDP (2024 est.)

Information derived from worldfactbook.io (Lupon Media), open successor to the CIA World Factbook. Data sourced from World Bank, IMF, UN and other international organizations.