Papua New Guinea: public finances

What is Papua New Guinea's budget deficit?

Papua New Guinea's budget deficit was K2,880.5 million in 2025, 2.1% of GDP, according to the Department of Treasury's 2026 Mid-Year Economic and Fiscal Outlook. The 2026 budget targets a deficit of K1,608.2 million, or 1.0% of GDP at the mid-year estimate.

By 30 June 2026 the government had collected K12,748.1 million (43.5% of the year's estimate) and spent K15,160.1 million, a mid-year deficit of K2,412.0 million. To keep the full-year target, the Treasury includes policy adjustments of about K2,975 million to spending. The IMF projects a deficit of 1.1% of GDP for 2026.

Official sources: PNG Treasury: 2026 Mid-Year Economic and Fiscal Outlook · IMF World Economic Outlook, October 2026

What is Papua New Guinea's national debt?

Papua New Guinea's public debt was K69,643.9 million at 30 June 2026, 43.3% of GDP, according to the Department of Treasury. The Treasury projects K70,070.5 million, or 43.6% of GDP, at the end of 2026, down from 50.0% at the end of 2025.

The Treasury says this is below the limit of 52.5% of GDP in the Fiscal Responsibility Act (Amended) 2026. The ratio fell mainly because nominal GDP rose sharply with higher gold and oil prices. The IMF estimates general government debt at 51.6% of GDP in 2025 and 46.8% in 2026.

Official sources: PNG Treasury: 2026 Mid-Year Economic and Fiscal Outlook · IMF World Economic Outlook, October 2026

What is Papua New Guinea's government debt?

The IMF puts general government gross debt in Papua New Guinea at 51.6% of GDP in 2025. Its high point since 2005 was 2023, at 54.8% of GDP; its low point was 2011, at 16.3% of GDP. East Asia & Pacific median: 45.0% of GDP; Papua New Guinea is 14th highest of 29. World rank, highest first: 102nd of 185.

Does Papua New Guinea's government borrow more than it raises?

-2.1% of GDP: that is general government net lending or borrowing in Papua New Guinea for 2025, according to the IMF, a deficit. Since 2005 it has ranged from -8.9% of GDP (2020) to 6.9% of GDP (2007). Across East Asia & Pacific the middle value was -1.7% of GDP, and Papua New Guinea placed 16th highest of 29. World rank, highest first: 76th of 188.

How much revenue does Papua New Guinea's government raise?

In 2025, general government revenue in Papua New Guinea was 17.0% of GDP, according to the IMF. Its high point since 2005 was 2007, at 24.9% of GDP; its low point was 2020, at 14.7% of GDP. Across East Asia & Pacific the middle value was 33.6% of GDP, and Papua New Guinea placed 26th highest of 29. World rank, highest first: 149th of 187.

What is Papua New Guinea's government spending?

The IMF puts general government spending in Papua New Guinea at 19.1% of GDP in 2025. The peak was 27.6% of GDP in 2013 and the low 18.0% of GDP in 2007. Across East Asia & Pacific the middle value was 32.9% of GDP, and Papua New Guinea placed 26th highest of 29. World rank, highest first: 157th of 186.

What is Papua New Guinea's tax to GDP ratio?

The IMF puts central government tax revenue in Papua New Guinea at 15.5% of GDP in 2024. The peak was 17.9% of GDP in 2014 and the low 11.9% of GDP in 2020. Across East Asia & Pacific the middle value was 15.4% of GDP, and Papua New Guinea placed 6th highest of 12. World rank, highest first: 58th of 92.

How much does Papua New Guinea spend on its military?

The latest figure from SIPRI, for 2025, is 0.4% of GDP. Since 2005 it has ranged from 0.3% of GDP (2024) to 0.5% of GDP (2012). Across East Asia & Pacific the middle value was 1.4% of GDP, and Papua New Guinea placed 16th highest of 16. Worldwide: 143rd of 149.