Papua New Guinea

Papua Niugini

Flag | Coat of Arms
Capital | Port Moresby
Government | Constitutional hereditary emirate
Language | English, Tok Pisin, Hiri Motu (official)
Monarch | King Charles III

Prime minister | Peter O'Neill

Area | 178,703 sq mi
Population | 8,950,000 (2020)
GDP 2005 | $5.6 billion
GDP per capita | $903
Currency | Papua New Guinean kina

Papua New Guinea (PNG), or Independent State of Papua New Guinea, is a country in the southwestern Pacific Ocean, immediately north of Australia.

## Contents

* 1 Geography
* 2 People
* 2.1 Language and culture
* 3 Government and Political Conditions
* 3.1 Principal Government Officials
* 3.2 Foreign Relations
* 4 Economy
* 4.1 Mineral and Oil Resources
* 4.2 Agriculture, Timber, and Fishing
* 4.3 Industry
* 4.4 Trade and Investment
* 4.5 Development Programs and Aid
* 4.6 Current Economic Conditions
* 5 History
* 5.1 New Guinea
* 5.2 Papua
* 5.3 Postwar Developments

## Geography[edit]

The country occupies the eastern half of the island of New Guinea, the world's second largest island. PNG borders West Papua, formerly called Irian Jaya, on the west, which is part of Indonesia.

Papua New Guinea also includes 1300 smaller islands. Many are very small, but major ones include New Britain, New Ireland, Buka, Manus, and Bougainville. Manam Island and Karkar Island are inhabited, but also are active volcanos. PNG is located in a region defined since the early 19th century as Melanesia.

On a map, the main part of the country resembles the profile of a large foot, with the toes pointed to the southeast. Mountains reaching as high as 14,793 ft/4,509 metres (Mt. Wilhelm) form a backbone the entire length of the country. Coastal plains stretch from the mountains to the Bismark Sea, on the north, and to the Coral Sea on the south. Both of these are part of the South Pacific Ocean. Port Moresby is the capital; another major centre is Lae, which was the last stopping point of Amelia Earhart in her attempt to fly around the world in 1937.

Mt. Hagen is the largest city in the Highlands. The other major town in the Highlands is Goroka. Thousands of people live in various smaller towns, and in thousands of remote villages. Many of the older people and pre-school age children speak only their native language. Since the people are tribally oriented, they throng together in the towns and along the roads in great numbers. They excel in group activities such as rugby and volleyball.

* Land area: 462,860 km2.; about the size of California.
* Cities: Capital—Port Moresby (254,158). Other cities—Lae (78,038), Mt. Hagen (27,789).
* Terrain: Mostly mountains with coastal lowlands and rolling foothills. The largest portion of the population lives in fertile highlands valleys that were unknown to the outside world until the 1930s, but that supported agriculture some 10,000 years ago, possibly before agriculture was developed elsewhere.
* Climate: Tropical. NW monsoon, Dec.-Mar.; SE monsoon, May-Oct.

## People[edit]

The indigenous population of Papua New Guinea is one of the most heterogeneous in the world. Papua New Guinea has several thousand separate communities, most with only a few hundred people. Divided by language, customs, and tradition, some of these communities have engaged in low-scale tribal conflict with their neighbors for millennia. The advent of modern weapons and modern migration into urban areas has greatly magnified the impact of this lawlessness.

The isolation created by the mountainous terrain is so great that some groups, until recently, were unaware of the existence of neighboring groups only a few kilometers away. The diversity, reflected in a folk saying, "For each village, a different culture," is perhaps best shown in the local languages. Spoken mainly on the island of New Guinea—composed of Papua New Guinea and the Indonesian province of West Papua—some 800 of these languages have been identified; of these, only 350-450 are related. The remainder seem to be totally unrelated either to each other or to the other major groupings. Most native languages are spoken by a few hundred to a few thousand, although Enga, used in part of the highlands, is spoken by some 130,000 people. However, the Enga people are subdivided into clans that regularly conflict with each other. Many native languages are extremely complex grammatically.

Melanesian Pidgin serves as the lingua franca. English is spoken by educated people and in Milne Bay Province. The overall population density is low, although pockets of overpopulation exist. Papua New Guinea's Western Province averages one person per square kilometer (3 per sq. mi.). The Chimbu Province in the New Guinea highlands averages 20 persons per square kilometer (60 per sq. mi.) and has areas containing up to 200 people farming a square kilometer of land. The highlands are home to 40% of the population.

A considerable urban drift toward Port Moresby and other major centers has occurred in recent years. The trend toward urbanization accelerated in the 1990s, bringing in its wake squatter settlements, ethnic disputes, unemployment, public utilities pressure, and attendant social problems, especially violent crime.

Approximately 96% of the population is Christian. The churches with the largest number of members are the Roman Catholic Church, the Evangelical Lutheran Church, the United Church, and the Seventh Day Adventist church. Although the major churches are under indigenous leadership, a large number of missionaries remain in the country. The bulk of the estimated 2,000 Americans resident in Papua New Guinea are missionaries and their families. The non-Christian portion of the indigenous population, as well as a portion of the nominal Christians, practices a wide variety of religions that are an integral part of traditional culture, mainly animism (spirit worship) and ancestor cults.

Foreign residents comprise about 1% of the population. More than half are Australian; others are from China, the United Kingdom, New Zealand, the Philippines, India, and the United States, most of whom are missionaries. Since independence, about 900 foreigners have become naturalized citizens.

* Population (2007 est.): 6.7 million.
* Annual growth rate: 3.1%.
* Languages: Three official: English, Tok Pisin, and Motu. There are approximately 860 other languages.
* Education: Years compulsory—0. Literacy—49.3%.
* Health: Infant mortality rate—65/1,000. Life expectancy—males 57.0 yrs.

#### Language and culture[edit]

Though cultures vary widely, traditional Papua New Guinea social structures generally include the following characteristics:

* The practice of subsistence economy;
* Recognition of bonds of kinship with obligations extending beyond the immediate family group;
* Generally egalitarian relationships with an emphasis on acquired, rather than inherited, status; and
* A strong attachment of the people to land, which is held communally. Traditional communities do not recognize a permanent transfer of ownership when land is sold.
* Though land and other possessions may be inherited through the female line in some cultures, women generally are considered and treated as inferiors. Gender violence is endemic.
* Patterns and frequency of sexual activity, though never publicly discussed (especially in rural areas), contribute to the current rapid spread of HIV.
* Most Papua New Guineans still adhere strongly to this traditional social structure, which has its roots in village life.

Population-wise, PNG is one of the most diverse countries on Earth, originally with over 850 indigenous languages, and at least as many traditional societies, out of a population of just under 6 million.

In 2001, officials stated that there were 817 native languages still in use. The most prominent spoken language in the Highlands is Melanesian Pidgin. It is a mixture containing about 1000 English words, many German words, and of course various tribal words. Eighty percent of what is published in PNG is English, and that is the official language of business, government, and most education.

Most of the people are warm-hearted and friendly, but there is a very serious crime problem. Christian missionaries have succeeded in bringing some peace among the highlands tribes, but tribal wars are still a major problem.

Major missionary endeavors, accompanied by faithful national workers, have provided health care, education, transportation, and spiritual guidance, helping to bring a better, and healthier lifestyle to the people of Papua New Guinea.

The dominant sport is rugby league.

## Government and Political Conditions[edit]

Papua New Guinea is a constitutional parliamentary democracy; its head of state is Queen Elizabeth II. She is represented by a Governor General who is elected by parliament and who performs mainly ceremonial functions. Papua New Guinea has three levels of government—national, provincial, and local. There is a 109-member unicameral parliament, whose members are elected every 5 years. The parliament in turn elects the prime minister, who appoints his cabinet from members of his party or coalition.

Members of parliament are elected from 19 provinces and the national capital district of Port Moresby. Parliament introduced reforms in June 1995 to change the provincial government system, with regional (at-large) members of parliament becoming provincial governors, while retaining their national seats in parliament.

Papua New Guinea's judiciary is independent of the government. It protects constitutional rights and interprets the laws. There are several levels, culminating in the Supreme Court.

Papua New Guinea's politics are highly competitive with most members elected on a personal and ethnic basis within their constituencies rather than as a result of party affiliation. Members of parliament are now elected in a limited preferential voting (LPV) system. There are several parties, but party allegiances are not strong. Winning independent candidates are usually courted in efforts to forge the majority needed to form a government, and allegiances are fluid. No single party has yet won enough seats to form a government in its own right.

Papua New Guinea has a history of changes in government coalitions and leadership from within parliament during the 5-year intervals between national elections. New governments are protected by law from votes of no confidence for the first 18 months of their incumbency, and no votes of no confidence may be moved in the 12 months preceding a national election. In an effort to create greater stability by reducing incessant votes of no confidence, the Integrity of Political Parties Act was passed in 1999, forbidding members of each party in parliament from shifting loyalty to another party.

In 2003, the electoral system was changed to limited preferential voting, which has begun to encourage politicians to strike alliances and to be responsive to constituent concerns once elected. The new system was used in the 2007 national general elections. However, 53 election petitions disputing returns were registered with the courts. Allegations included bribery, intimidation, block voting, and undue influence.

On Bougainville Island, a 10-year rebellion was halted by a truce in 1997 and a permanent cease-fire was signed in April 1998. A peace agreement between the Government and ex-combatants was signed in August 2001. Under the eyes of a regional peace-monitoring force and a UN observer mission, the government and provincial leaders established an interim administration and made significant progress toward complete surrender/destruction of weapons. A constitution was drafted in 2004 and provincial government elections were held in May 2005. The elections were deemed to be free and fair by international observers, and Joseph Kabui was elected to serve as the first president of the Autonomous Bougainville Government (ABG). A referendum was tentatively agreed to be held between 2015 and 2020, 10 to 15 years following formation of the ABG. Progress has been slow with the ABG initially focusing on disarmament, peace, and reconciliation. A small percentage of former fighters have created illegal "no go zones," particularly in the Central and South Bougainville.

### Principal Government Officials[edit]

* Governor General—Michael Ogio
* Prime Minister—Peter O'Neill
* Deputy Prime Minister—Puka Temu
* Foreign Minister—Samuel Abal
* Ambassador to the United Nations—Robert Aisi

### Foreign Relations[edit]

Papua New Guinea's foreign policy reflects close ties with Australia and other traditional allies. Papua New Guinea is by far the largest Pacific Island nation and has traditionally viewed itself as part of the Pacific. However, in recent years it has also been cultivating relations with Asian nations. Its views on international political and economic issues are generally moderate. Papua New Guinea has diplomatic relations with 56 countries.

## Economy[edit]

Papua New Guinea is rich in natural resources, including minerals, oil, gas, timber, and fish, and produces a variety of commercial agricultural products. The economy generally can be separated into subsistence and market sectors, although the distinction is blurred by smallholder cash cropping of coffee, cocoa, and copra. Approximately 75% of the country's population relies primarily on the subsistence economy. The minerals, timber, and fish sectors are dominated by foreign investors.

Manufacturing continued to be slow in 2007. The service industry was stable, while tourism shows potential and remains largely untapped. Generally, economic activity continued to grow in 2007. The growth was boosted by favorable international commodity prices. Employment grew modestly. The financial sector enjoyed high liquidity, with increased lending due to low interest rates. Inflation remained low.

* Nominal GDP (2006): U.S. $5.6 billion; PGK 17.3 billion.
* Average exchange rate (2006): U.S. $=Kina 3.06.
* Real GDP growth rate (2006): 3.7%.
* Inflation rate (2006): 2.9%.
* Per capita GDP: U.S. $903.
* Natural resources: Gold, copper ore, crude oil, natural gas, timber, fish, oil palm, tea, rubber, logs.
* Forestry (4% of GDP); marine (1% of GDP); minerals and oil (82% of GDP).
* Agriculture (13% of GDP): Major products—coffee, cocoa, coconuts, palm oil, timber, tea, vanilla.
* Industry (25% of GDP): Major sectors—copra crushing; palm oil processing; plywood production; wood chip production; mining of gold, silver, and copper; construction; tourism; crude oil production, refined petroleum production.
* Trade: Exports—66% of GDP: gold, copper ore, oil, timber, palm oil, coffee. Major markets (in order by value—high to low)--Australia, Japan, Philippines, Germany, South Korea, China, United States, United Kingdom, Singapore, and Malaysia. Imports—31% of GDP: machinery and transport equipment, vehicles, manufactured goods, food, mineral fuels, chemicals. Major suppliers (in order by value—high to low)--Australia, United States, Singapore, Japan, China, New Zealand, Malaysia, Hong Kong, Indonesia, and United Kingdom.

#### Mineral and Oil Resources[edit]

Papua New Guinea is richly endowed with gold, copper, oil, natural gas, and other minerals. In 2006 minerals and oil export receipts accounted for 82% of GDP. Government revenues and foreign exchange earnings depend heavily on mineral and oil exports. Indigenous landowners in areas affected by minerals projects also receive royalties from those operations. Copper and gold mines are currently in production at Porgera, Ok Tedi, Misima, and Lihir. A consortium led by Exxon/Mobil hopes to begin the commercialization of the country's estimated 22.5 trillion cubic feet of natural gas reserves through the construction of a liquefied natural gas (LNG) production facility by 2010. Interoil, an American-owned firm, opened Papua New Guinea's first oil refinery in 2004 and is exploring the feasibility of building a liquefied natural gas production facility by 2012 with production capacity of 32,500 barrels of product per day.

#### Agriculture, Timber, and Fishing[edit]

Papua New Guinea also produces and exports valuable agricultural, timber, and marine products. Agriculture currently accounts for 13% of GDP and supports more than 75% of the population. Cash crops ranked by value are coffee, oil, cocoa, copra, tea, rubber, and sugar. About 40% of the country is covered with exploitable trees, but a domestic woodworking industry has been slow to develop. A number of Southeast Asian companies are active in the timber industry, but World Bank and other donors have withdrawn support from the sector over concern for unregulated deforestation and environmental damage. Recently enacted forestry legislation has exacerbated those concerns. Papua New Guinea has an active tuna industry, but much of the catch is made by boats of other nations fishing in Papua New Guinea waters under license. Papua New Guinea is a signatory to the South Pacific Tuna Treaty (SPTT), under which U.S. purse seiners fish for tuna in the exclusive economic zones (EEZs) of the Pacific Island parties. Locally produced fish exports are confined primarily to shrimp.

#### Industry[edit]

In general, the Papua New Guinea economy is highly dependent on imports for manufactured goods. Its industrial sector—exclusive of mining—accounts for only 9% of GDP and contributes little to exports. Small-scale industries produce beer, soap, concrete products, clothing, paper products, matches, ice cream, canned meat, fruit juices, furniture, plywood, and paint. The small domestic market, relatively high wages, and high transport costs are constraints to industrial development.

#### Trade and Investment[edit]

Australia, Singapore, and Japan are the principal exporters to Papua New Guinea. Petroleum and mining machinery and aircraft have been the strongest U.S. exports to Papua New Guinea.

Australia is Papua New Guinea's most important export market, followed by Japan and the European Union. The U.S. imports modest amounts of gold, copper ore, cocoa, coffee, and other agricultural products from Papua New Guinea. Most of those exports take place through third countries.

With the 2003 withdrawal of Chevron/Texaco, Australian companies are the most active in developing Papua New Guinea's mining and petroleum sectors. Exxon/Mobil retains a major share of natural gas reserves and is constructing a liquefied natural gas processing facility. Interoil, an American-owned firm backed by an Overseas Private Investment Corporation (OPIC) loan, operates an oil refinery in Port Moresby and is exploring the feasibility of building a liquefied natural gas processing facility. China is increasing its investment in Papua New Guinea, including development of the $1 billion Ramu nickel mine.

Papua New Guinea became a participating economy in the Asia-Pacific Economic Cooperation (APEC) Forum in 1993. It joined the World Trade Organization (WTO) in 1996. It is an observer at ASEAN and a member of the ASEAN Regional Forum. It has preferential tariff agreements with the markets of Melanesian and Pacific Island neighbors through the Melanesian Spearhead Group (MSG) Trade Agreement and the Pacific Islands Countries Trade Agreement (PICTA).

#### Development Programs and Aid[edit]

Australia is by far the largest bilateral aid donor to Papua New Guinea, offering about $355 million a year in assistance. Budgetary support, which has been provided in decreasing amounts since independence, was phased out in 2000, with aid concentrated on project development. In 2004, Australia and Papua New Guinea embarked on the Enhanced Cooperation Program (ECP), under which Australia agreed to provide direct assistance, including 210 line police officers, to the Papua New Guinea constabulary. The ECP met with initial success, but was abruptly ended when Papua New Guinea's Supreme Court stripped Australian police officers of immunity in May 2005. Virtually all ECP personnel left Papua New Guinea following the court's decision. The governments of Papua New Guinea and Australia are now involved in protracted negotiations on a scaled-down version of the ECP.

Other major sources of aid to Papua New Guinea are Japan, the European Union, the People's Republic of China, Taiwan, the United Nations, the Asian Development Bank, the International Monetary Fund, and the World Bank. Volunteers from a number of countries and mission church workers also provide education, health, and development assistance throughout the country. Foreign assistance to Papua New Guinea is approximately $46 per capita. The U.S. funds a $1.5 million-per-year HIV/AIDS project in Papua New Guinea.

#### Current Economic Conditions[edit]

After years of decline and government deficit, Papua New Guinea was bolstered in recent years by a general rise in commodity prices and by government steps toward spending control. The economy continues to grow modestly and the government recorded a modest surplus in 2007. However, the economic improvements are based almost entirely on high commodity prices and the nation continues to have serious problems of corruption, a lack of law and order, land tenure concerns stifling investment, political interference in business, and a lack of political will to adopt needed sweeping reforms.

## History[edit]

Archeological evidence indicates that humans arrived on New Guinea at least 60,000 years ago, probably by sea from Southeast Asia during an Ice Age period when the sea was lower and distances between islands shorter. Although the first arrivals were hunters and gatherers, early evidence shows that people managed the forest environment to provide food. There also are indications of gardening having been practiced at the same time that agriculture was developing in Mesopotamia and Egypt. Early garden crops—many of which are indigenous—included sugarcane, Pacific bananas, yams, and taros, while sago and pandanus were two commonly exploited native forest crops. Today's staples—sweet potatoes and pigs—were later arrivals, but shellfish and fish have long been mainstays of coastal dwellers' diets.

When Europeans first arrived, inhabitants of New Guinea and nearby islands—while still relying on bone, wood, and stone tools—had a productive agricultural system. They traded along the coast, where products mainly were pottery, shell ornaments, and foodstuffs, and in the interior, where forest products were exchanged for shells and other sea products.

The first Europeans to sight New Guinea were probably the Portuguese and Spanish navigators sailing in the South Pacific in the early part of the 16th century. In 1526-27, Don Jorge de Meneses accidentally came upon the principal island and is credited with naming it "Papua," a Malay word for the frizzled quality of Melanesian hair. The term "New Guinea" was applied to the island in 1545 by a Spaniard, Íñigo Ortiz de Retes, because of a fancied resemblance between the islands' inhabitants and those found on the African Guinea coast. Although European navigators visited the islands and explored their coastlines for the next 170 years, little was known of the inhabitants until the late 19th century.

#### New Guinea[edit]

With Europe's growing need for coconut oil, Godeffroy's of Hamburg, the largest trading firm in the Pacific, began trading for copra in the New Guinea Islands. In 1884, Germany formally took possession of the northeast quarter of the island and put its administration in the hands of a chartered company. In 1899, the German imperial government assumed direct control of the territory, thereafter known as German New Guinea. In 1914, Australian troops occupied German New Guinea, and it remained under Australian military control until 1921. The British Government, on behalf of the Commonwealth of Australia, assumed a mandate from the League of Nations for governing the Territory of New Guinea in 1920. That mandate was administered by the Australian Government until the Japanese invasion in December 1941 brought about its suspension. Following the surrender of the Japanese in 1945, civil administration of Papua as well as New Guinea was restored, and under the Papua New Guinea Provisional Administration Act, 1945–46, Papua and New Guinea were combined in an administrative union.

#### Papua[edit]

On November 6, 1884, a British protectorate was proclaimed over the southern coast of New Guinea (the area called Papua) and its adjacent islands. The protectorate, called British New Guinea, was annexed outright on September 4, 1888. The possession was placed under the authority of the Commonwealth of Australia in 1902. Following the passage of the Papua Act of 1905, British New Guinea became the Territory of Papua, and formal Australian administration began in 1906. Papua was administered under the Papua Act until the Japanese invaded the northern parts of the islands in early 1942 and began to advance on Port Moresby and civil administration was suspended. During the war, The Markham Valley was the first place in the world that great numbers of soldiers were dropped into an active war zone by parachute. The Allied armies, under the command of General Douglas MacArthur, then liberated the city of Lae from the Japanese, and many native New Guineans served with great honour and helped the Allied soldiers (the Japanese had intended to use New Guinea as a base for their planned invasion of Australia). Papua was governed by a military administration from Port Moresby, where MacArthur occasionally made his headquarters. As noted, it was later joined in an administrative union with New Guinea during 1945-46 following the surrender of Japan.

#### Postwar Developments[edit]

The Papua and New Guinea Act of 1949 formally approved the placing of New Guinea under the international trusteeship system and confirmed the administrative union of New Guinea and Papua under the title of "The Territory of Papua and New Guinea." The act provided for a Legislative Council (established in 1951), a judicial organization, a public service, and a system of local government. A House of Assembly replaced the Legislative Council in 1963, and the first House of Assembly opened on June 8, 1964. In 1972, the name of the territory was changed to Papua New Guinea.

Elections in 1972 resulted in the formation of a ministry headed by Chief Minister Michael Somare, who pledged to lead the country to self-government and then to independence. Papua New Guinea became self-governing in December 1973 and achieved independence on September 16, 1975. The 1977 national elections confirmed Michael Somare as Prime Minister at the head of a coalition led by the Pangu Party. However, his government lost a vote of no confidence in 1980 and was replaced by a new cabinet headed by Sir Julius Chan as Prime Minister. The 1982 elections increased Pangu's plurality, and parliament again chose Somare as Prime Minister. In November 1985, the Somare government lost a vote of no confidence, and the parliamentary majority elected Paias Wingti, at the head of a five-party coalition, as Prime Minister. A coalition, headed by Wingti, was victorious in very close elections in July 1987. In July 1988 a no-confidence vote toppled Wingti and brought to power Rabbie Namaliu, who a few weeks earlier had replaced Somare as leader of the Pangu Party. In 1992 Paias Wingti was elected Prime Minister. Sir Julius took his place in 1994 after a vote of no confidence. The 1997 elections brought Bill Skate to power as Prime Minister, but he was replaced by Sir Mekere Morauta after a vote of no confidence in 1999. Sir Michael Somare returned as Prime Minister after the 2002 general elections. He led his national alliance party into the 2007 elections and remained as the Prime Minister, becoming the longest-serving parliamentarian in the Commonwealth. Somare celebrated his 40th year in politics on March 16, 2008.

Such reversals of fortune and a revolving-door succession of prime ministers have characterized Papua New Guinea's national politics. From 1988 to 2002, the country had numerous prime ministers. A plethora of political parties, coalition governments, shifting party loyalties, and motions of no confidence in the leadership all lent an air of instability to political proceedings. For the first 27 years of independence, a "first past the post" electoral system resulted in many parliamentarians elected with less than 15% of their constituency. Fractious politics and a 75% loss rate for incumbents precluded the development of strong political parties or a stable national leadership. The limited preferential voting, introduced in 2003, and an organic law on political parties has strengthened political stability.

In the 2007 elections, 66 members of parliament lost their seats. The government was formed by a coalition of several parties, and Sir Michael Somare, the leader of the National Alliance (and the nation's first Prime Minister in 1975), was elected Prime Minister. His government was the first to complete a 5-year term since independence and hopes to complete a 10-year term.

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