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Updated April 4, 2022

Papua New Guinea

Background and Overview
Papua New Guinea (PNG) lies in a region of the Southwest
Pacific known as Melanesia. It is the most populous Pacific
Island nation, with about 9 million residents belonging to
hundreds of tribes speaking over 800 local languages and
dialects. A central highland zone has peaks that reach
14,793 feet. It gained independence from an Australian-
administered U.N. trusteeship in 1975. PNG shares a land
border with Indonesia and is a member of the Pacific
Islands Forum and the Melanesian Spearhead Group.
Papua New Guinea has been strategically important to the
United States in the past. An estimated 7,000 American
soldiers and airmen died in the New Guinea campaign, and
the nearby Battle of the Coral Sea was a key turning point
in WWII. The United States has played a relatively minor
economic and security role in PNG, although it has some
important stated interests, including U.S. investment in
natural gas production. China's expanding influence in
PNG and the region is now driving increasing engagement
by the United States with PNG, including in coordination
with Australia and other partners.
Politics
The Independent State of Papua New Guinea is a
constitutional monarchy with a parliamentary democracy.
Members of parliament are elected for five-year terms of
office. The next general election is expected in June 2022.
James Marape, the son of a Seventh Day Adventist pastor
and a leader of the Huli people of PNG's highlands, was
made prime minister following the resignation of former
Prime Minister Peter O'Neill in 2019. Marape led a series
of defections from the O'Neill government that prompted
O'Neill's resignation, and defeated O'Neill's chosen
successor in a subsequent leadership vote. Marape leads the
Pangu Party, which holds 23 of 111 parliamentary seats.
Marape governs in coalition with the United Resource
Party, the National Alliance Party, and others. Another
coalition government is expected following the next
election. Marape has called for a review of PNG's resource
laws and key investment projects, and stated he wanted
PNG to be the richest black Christian nation.
Economy
Papua New Guinea is richly endowed with natural
resources, including precious metals, natural gas, timber,
and fisheries. The country's Gross Domestic Product (GDP)
growth rate is projected to increase from 2.1% in 2022 to
2.7% in 2023. Economic growth will likely remain
vulnerable to COVID-19 disruptions. Despite its resources,
PNG ranks poorly on the United Nations Development
Program's Human Development Index, which measures per
capita gross national income, life expectancy, and
educational attainment (it is 1 55th out of 1 87 countries).

Figure 1. Papua New Guinea in Brief

According to the Asian Development Bank, 37.5% of the
population in 2017 lived below the National Poverty Line.
PNG also has a serious HIV/AIDS problem and a weak
health care system. Obstacles to PNG's development
include poor infrastructure, lack of government capacity,
corruption, inadequate supply of skilled workers, and
unstable commodity prices. Australia, China, Japan, and
Singapore are PNG's largest export markets. About 13% of
Papua New Guineans have reliable access to electricity.
US. Relations, Assistance, and
Investment
The United States established diplomatic relations with
Papua New Guinea in 1975, when PNG became
independent. According to the Department of State, The
United States and Papua New Guinea have enjoyed a close
friendship, and the U.S. Government seeks to enhance
Papua New Guinea's stability as a U.S. partner.
U.S. assistance has sought to support public health to
combat diseases including HIV/AIDS, malaria, and
tuberculosis. U.S. assistance also seeks to build the capacity
and resilience of PNG to adapt to climate change through
Pacific Islands regional programs. The United States also
supports the Coral Triangle Initiative on Coral Reefs,
Fisheries, and Food Security (CTI-CFF), which aims to
sustain marine and coastal resources in the region, and the
multilateral South Pacific Tuna Treaty (SPTT). Under the
SPTT, the American Tunaboat Association pays licensing
fees to gain access to fishing areas in the region, and the
U.S. government extends $21 million annually in assistance
to the Pacific Island parties to the agreement.
In 2018, at the Asia-Pacific Economic Cooperation (APEC)
Leaders Meeting in Port Moresby, then-Vice President

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