Government delays budget to next week to finalise fiscal numbers

Prime Minister James Marape has announced that the 2026 national budget will now be delivered next Tuesday, November 25, instead of this Thursday.

Marape said Cabinet agreed to postpone the presentation so Treasury can properly finalise fiscal numbers and return budget delivery to its traditional Tuesday schedule.

He apologised to stakeholders who were expecting the budget this week but said the change was necessary for transparency and accuracy.

“We want to realign budget delivery back to Tuesdays and give the Opposition full time to read and respond the following week,” he said. “Accuracy and credibility in our budget process must always be maintained.”

The Prime Minister said Papua New Guinea’s economy continues to strengthen, with more than K50 billion added during the Government’s term. Assessments from major institutions including the Asian Development Bank, World Bank, IMF and the Bank of PNG, indicate the country is on a steady growth path.

He said the economy is projected to grow by more than 4 percent this year and again in 2026.
“Our economy will surpass K140 billion next year,” Marape said. “This demonstrates stability and confidence in the reforms we have put in place.”

Marape also highlighted improvements in debt management, stating that the Marape-Rosso Government has lowered the debt-to-GDP ratio since the COVID-19 years and expects it to fall below 50 percent in 2025. Cabinet has endorsed amendments to the Fiscal Responsibility Act to cap future government borrowing at 50 percent of GDP.

“We are governing with restraint and responsibility,” he said. “We are borrowing only within our capacity to repay, and consistent with our medium-term affordability.”

Responding to criticism from the Opposition, the Prime Minister said recent budgets have performed strongly.

“Many in the Opposition will raise issues about budget delivery and statistics,” he said. “But the evidence is in the Final Budget Outcomes for the last 10 years. From 2019 to 2024, we have delivered every budget above expectations. Our revenue and expenditure performance has consistently been above 90%.”

He said the Government has stayed on course despite global shocks and the COVID-19 crisis.

“We inherited a recession economy in 2019 but stayed focused through global and domestic hardships. We are not reinventing the wheel; we are following the long-term path set in 2019 and 2020.”

Marape also revealed a major long-term target: PNG could repay all sovereign debt by 2033 if current policies continue.

“If future governments stay this course, the total accumulated sovereign debt since 1975 can be fully repaid by 2033,” he said.

The Prime Minister said the Government is now concentrating on ensuring Treasury and Finance releases reach communities and translate into improved services. He cited education as one area showing progress.

“For the first time in over a decade, all education funds were released by the third quarter this year. This allowed schools to complete their programmes on time.”

He thanked the Ministers for Treasury, Finance and National Planning for their leadership amid challenging global conditions.

Marape reaffirmed that the Government will hand down a responsible and credible budget next Tuesday.
“Despite global challenges, we are managing with discipline, prudence and confidence in PNG’s long-term economic future,” he said.