The last time PNG experienced a
major economic crisis and a devastating drought was in 1997 when the late Sir
Bill Skate was the Prime Minister. Late Skate was the leader of the People’s
National Congress (PNC) a political party that is now heading the coalition
government with Peter O’Neill as the leader and Prime Minister. Failing to
resuscitate the economy and the sliding Kina Sir Skate and his PNC were voted
out of power in a vote of no confidence by the People’s Democratic Party headed
by Sir Mekere Morauta. It so happened that at present a PNC led government is
now in the middle of a turmoil with the nation already said to be experiencing
cash flow crisis made worse by one of its worst drought in history. What is
profoundly interesting is that these two events have occurred in the lifetime
of a PNC led government. This is not to say that PNC is a political party
destined to bring doom but the coincidences are too “good to be ignored”.
Yesterday I bumped into a friend of
mine who like every concerned Papua New Guineans was worried sick about what is
to become of PNG in the next year or so as we face the inevitable truth that we
are already deep into a crisis albeit the extent of that crisis is still yet to
be known. Having been bombarded with news about the recent developments
concerning the economy and the water crisis facing Sirinumu dam in Sogeri, he
could not help contemplate the consequences that could arise once the economy
“crash” and the water level “hits rock bottom”. He feared that not long water
to most settlements will be cut and more people will be made “jobless” giving
way for pandemonium and with it, lawlessness and social disorder to flourish in
Port Moresby and other centers of PNG. Almost like a scene out of the movie
“Armageddon”.
Using the situation of water in a
tank he told me an analogy of what would happen in PNG as the economic and
water situation gets worse. In a tank
filled to the brim with water it is hard to notice the debris including the
fungus he said. However as the water level drop the bottom of the tank becomes
visible until the debris and the fungus are exposed. At the same time the water
starts to get smelly and the only logically thing to do would be to empty the
tank and refill it with clean water. This he said is what is going to happen
with corruption in PNG. Sooner or later the whole rot and mess that is the
fabric of corruption in PNG is going to be exposed and gotten rid off. The only problem he told me is “when” that is
going to happen and who is going to do it.
I realize from that conversation
with my friend that the question of “when” all these rot that is corruption
will be brought under control is something that rings aloud in the hearts and
minds of most Papua New Guineans. Corruption in this country has seen
widespread inequalities and a gaping gap between the rich and the poor.
Everyday ordinary Papua New Guineans like my friend are asking if the prices of
basic goods and services is ever going to come down. By now every Papua New
Guineans have this general idea that cost of living is always going to go up
regardless of what happens in the economy. In a developed well functioning
economy that should not be the case as prices should readily adjust to
conditions on the market. In PNG unfortunately there is so much “unforeseen”
market interventions that seemed to work in the favour of the wealthy ruling
class. The saddest truth from all this is that a large portion of Papua New Guineans
which includes the “blue, brown and green collar” workers plus a large
population of the middle income class who are the engine of growth, will always
be playing catch-up as a “minority” rich drive up the cost of living in this
country. In the rural areas after 40 years of independence most of the folks
are still living in pre-modern state with very little knowledge of what is
happening in the world let alone in cities like Port Moresby and Lae. The state
of most of the public utilities and services there are deplorable. This is
where it gets really unfair.
As I look back to PNG’s history I
noticed that what happened after 1997 was a period of rebuilding, regaining and
restoring” of the PNG’s Economy. Sweeping reforms initiated by the Morauta led government
in all sectors began to bring back stability and confidence. This provided the
platform for the Somare led government to roll-out plans to boost the PNG’s
economy. The PNG LNG arguably PNG’s largest project to date is a result of
those years of sustain stability and visionary reforms. What this country needs
now is a government that should use those windfall gains to lift this entire
nation from where it is now to another level. We should not go back and start
all over again. The world is moving and Papua New Guineans are striving for a
better lifestyle and improved living standards. It is totally unacceptable that
since we have open our doors for our natural resources to be exploited for the
purpose of prosperity, we still have some of the worst social indicators
anywhere else in the world. Again a reflection of the crippling nature of
“corruption” that has gripped this nation to its knees and sucked the life out
of it.
The years after the Bougainville
crisis up until 1997 were some of the most ‘painful years” for PNG. My father
who was a NPF (now NASFUND) contributor along with several thousand “blue
collar” workers lost a large chunk of their contribution due to “corruption”.
However, being uneducated he and most of the “blue collar” workers “felt it was
beyond their reach” to demand some form of compensation from the government. Justice
needs to be served to those who were responsible for the nation’s biggest
“white collar” heist in recent history. Those were the lost years that some of
us including my friend grew up in and wished never to experience in our
lifetime. Yet here we are with all signs pointing to a repeat of that history. If
that part of PNG’s history does repeat itself history has shown us that the next
crop of leadership will have to “rebuild, regain and restore” this nation’s
economy and set its future right once again. The really miserable part about
all of this is that most Papua New Guineans like my father and myself will have
to experience the whole “ups and downs” within the same generation. That means
that we will have to start all over again. While destiny and history decide the
fate of this nation all we can do now is brace ourselves for what is to come.
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