A staggering 1 million kina has been allotted by the Chimbu administration to perform a feasibility study that will reveal how much potential the Karamuni area would have if it were turned into a Special Economic Zone.
The Department of National Planning has raised the remaining K1.3 million from other sources, bringing the feasibility study’s total financing to K2.3 million.
Richard Maru, the minister for international trade and investment, has come forth to applaud Chimbu Governor Noah Kool’s decision to take such a proactive action.
The Minister said that this feasibility study will reveal just how much good can come from one of Papua New Guinea’s most productive provinces. He claims it’s time to stop making the same mistakes over and again and expect a different outcome. In addition to gold, copper, and gas, the minister thinks it is important to look at projects and possibilities that could generate income.
He has praised the Marape-Rosso government for recognizing the need for a proactive approach to growth and promoting and supporting the establishment of the Special Economic Zone by encouraging and supporting the passage of the law in 2019. The Minister thinks the goal is to unleash the economic potential in each province.
The potential of Karamui’s agriculture has frequently been mentioned in the past, but nothing more transpired as a result, according to him. Now is the time to walk the talk. As Chimbu’s six MPs cooperate, Minister Marus claims his faith in Karamui’s potential to become the nation’s first and most prosperous Special Economic Zone is growing. The potential for this project to boost Chimbu’s earnings is very considerable.
A Special Economic Zone (SEZ) is a designated area within a country that is given economic and administrative incentives to encourage economic development and foreign investment. SEZs are typically established to promote specific industries or to spur economic development in a specific region.
SEZs typically offer a range of incentives such as tax holidays, relaxed regulations, and reduced customs duties to attract foreign and domestic investment. These incentives are intended to create jobs, increase exports, and promote economic growth.
SEZs can be of different types, for example, free trade zones, export processing zones, free zones, and industrial parks, among others. They can also be used for different purposes such as tourism development, manufacturing, logistics, and among others.
This means that if the feasibility study shows a lot of potential, this means that Papua New Guinea could step foot on the path of creating more jobs for its youth as more and more foreign companies will be looking at investing in the country.
This investment will also allow for infrastructure improvements as these foreign companies will most certainly need improved roads and more facilities to benefit from.
Furthermore, these are the same foreign companies that will rake in foreign exchange into the country and help tighten the grip on its foreign reserves
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