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Papua New Guinea Papua New Guinea

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Papua New Guinea

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EconomicPoliticalStructural

Papua New Guinea – Quick View
ECR score37.26 (Mar 2011)
ECR rank108 (Mar 2011)
Economic
GDP 2011USD 11.45 billion
GNI per capita PPPUSD 2,227
FDI inflow 2009USD 423.24 million
Inflation 20119%
Central bank assets 2010USD 2,974.23 million
Unemployment rate 20091.8%
Government deficit 2011USD 20.65 million
Tax revenue 2010USD 976.47 million
Political
Government typeConstitutional Monarchy
Recent political crisisNA
Economic freedom score 201128th
Freedom of information score 201043rd
Corruption perception index 2010154th
Structural
Crude birth rate 200931 (per '000)
Population balanceUnder 14 – 39.8%
Population balanceMen over 60 – 4%
Population balanceWomen over 60 – 4.3%
Life expectancy (Years)Male - 59
Life expectancy (Years)Female - 63
Infant mortality rate 200952 (per '000 live births)
Literacy rate 201059.1%
Internet access 20102.1%

[Top] Economic Overview

Papua New Guinea’s economy is driven by agriculture, exports of natural resources and small-scale industries. Inefficient government policies and business regulations hamper economic growth.

(Source: Heritage.org)

Gross Domestic Product (GDP)

GDP experienced continual growth from 2005 to 2009. In 2011, GDP is estimated to be PGK 29.95 billion.

Papua New Guinea GDP

 

(Source: imf.org) e = estimate

GDP Growth Rate

In 2007, GDP growth rate of the country was registered at 7.2%. The rate declined to 6.7% by 2009. In 2011, it is projected to reach 6.2%.

Papua New Guinea GDP growth rate

(Source: Central Bank, page: 18) p = projected

Gross National Income (GNI)

In 2009, Papua New Guinea’s Gross National Income (GNI) per capita (PPP) was recorded at USD 2,227.

Papua New Guinea GNI per capita at PPP

(Source: UNDP)

Tax Rate

Papua New Guinea has a progressive income tax system. Individual income tax rate is 42% and corporate income tax is 30%. Sales Tax rate in the country is 10%.

(Source: Tax rate.cc)

Personal Income Tax (for residents)

Income Range (TZS)

Tax Rate on excess (%)

7,000

22

18,000

30

33,000

35

70,000

40

250,000

42

(Source: Tax rate.cc)

Inflation

Inflation rate shows fluctuating movement from 2005 to 2009. In 2011, inflation is estimated to reach 9%.

 Papua New Guinea Inflation Rate

(Source: imf.org) e = estimate

Foreign Direct Investment (FDI)

FDI inflow in the country registered sudden rise from 2008 to 2009. In 2009, FDI inflow was recorded at USD 423.24 million.

Papua New Guinea FDI Inflow

(Source: World Bank)

Central Bank Assets                                                                                         

Central Bank of Papua New Guinea witnessed steady increase in total assets from 2005 to 2010. In 2010, total assets were recorded at PGK 8,129.70 million.

 Papua New Guinea Bank Sector Assets

(Source: Central Bank) 

[Top] Financial Indicators & Government Financial

The economy of Sweden is mainly dependent on exports of telecommunications, automobile, construction equipment and other goods. The major trading partners of the country are Germany, Norway, U.K., US, Denmark and Finland.

Gross domestic product (GDP)

The Gross Domestic Product (GDP) for Q3/2010 was SEK 805.25 billion, as compared to SEK 832.64 billion for Q2/2010.

Sweden GDP and GDP Growth Rate

The GDP of Sweden witnessed a steady rise from 2000 to 2008 primarily due to the increase in domestic demand and steady exports.  However, in 2009, GDP decreased by 4% due to the global recession.

(Source: National Statistics, state.gov) 

GDP per capita at PPP

Sweden GDP per capita and GDP per capita at PPP

 *Index EU=100 (GDP per capita at PPP)

The GDP per capita at PPP displays the level of Gross Domestic Product (GDP) per capita in current prices. The levels are expressed as an index benchmarked against EU27 average, which equals 100.

(Source: National Statistics,NS)

Gross national income (GNI)

The nation’s GNI per capita was 338.2 (1000 SEK) for 2009, decreasing 6% from the previous year.

(Source: National Statistics)

The GNI per capita at PPP is USD 38,590.

(Source: world Bank)

Income tax rates

The income tax rate for individuals ranges between 0% - 57%. In 2010, the average income tax is 57.7%. The citizens of the country have to pay both national income tax and municipal income tax. For 2010, the national income tax and the municipal income tax rates were 25% and 31.56% respectively.

Taxable income

National Income taxate

Above SEK 372,100

20%

SEK 372,100 - SEK 532,700

25%

The value added tax rate (VAT) in Sweden for goods and services is 25%, but certain goods and services are taxed at lower rate of 12% or 6%.

(Source: Worldwide tax, taxrates.cc)

Corporate tax rate

   Sweden’s corporate tax structure is:

Tax Contribution

Total tax rate (% profit)

Payroll tax

36.6

Corporate Income tax

16.4

Fuel tax

1.1

Real estate tax

0.6

Value Added Tax (VAT)

0

Total:

54.6

(Source: doingbusiness.org, taxrates.cc)

Inflation rate

The inflation rate in Sweden was recorded at 1.3% in 2010, declining sharply in 2009.

Sweden Inflation Rate

(Source: National Statistics)

FDI inflow

In 2009, the net claims of domestic holding companies as compared to their associated companies dropped by SEK 67 billion. This resulted in the net foreign direct investments abroad to amount to SEK 2,421 billion, decreasing SEK 41 billion, compared to 2008.

The foreign direct investment inflow in 2009 was SEK 2,353 billion, increasing SEK 180 billion as compared to 2008. This increase was due to the rise in equity.

(Source: National Statistics) 

Portfolio investment

The total portfolio investment in 2010 amounted to SEK 42.5 billion, as compared to SEK 434.4 billion in 2009.

 

Year

Portfolio Investment (SEK billion)

2010 (Jan – Sep)

42.5

2009

513.5

2008

-200.7

(Source: National Statistics)

Banking sector assets

The table below represents the assets of the Central Bank of Sweden. The total bank assets in 2010 amounted to SEK 326,919, decreasing 53.8% as compared to the previous year.

Bank Sector Assets (SEK million)

Year

2010

2009

Gold

38,537

31,691

Foreign Exchange Reserve

282,554

302,348

Monetary policy assets

500

368,802

Other assets

5,328

5,995

Total assets

326,919

708,836

(Source: Central bank)

[Top] Labour Force and Employment Overview

Labour force

In 2008, Papua New Guinea’s total labour force was registered at 2.85 million.

(Source: World Bank)

Labour force participation rate

In 2008, the country’s participation rate was registered at 72%.

(Source: World Bank)

Unemployment rate

In 2009, the nation’s unemployment rate was recorded at 1.8%.

(Source: Heritage.org)

Minimum wage

In 2010, minimum wage in Papua New Guinea was registered at PGK 2.29 per hour for adult workforce in the private sector. Minimum wage for workers between 16 and 21 years of age is 75% of adult minimum wage.

(Source: Minimum Wage.org)

Level of unionisation

‘Papua New Guinea Trade Union Congress (PNGTUC)’ is the national representative of workers in the country. It is affiliated to the International Trade Union Confederation (ITUC). In 2007, the union had 70,000 members.

Workers hold the right to strike under the national labour code.

Trade unions in Papua New Guinea:

  •    Papua New Guinea Maritime Workers' Industrial Union
  •    PNG Telikom Worker's Union
  •     PNG Trade Union Congress
  •     Waterside Workers Seaman Union

(Source: Commonwealth of Nations.org)

[Top] Political Stability

Government stability

The country is a constitutional monarchy based on a parliamentary democracy. The reigning monarch of Sweden is Carl XVI Gustaf, who is also the acting head of state, but he exercises no political power and is only responsible for the ceremonial duties and functions. Fredrik Reinfeldt is the current prime minister of the country. The Swedish parliament is called the Riksdag, which has the legislative powers and is comprised of 349 members. 

The four fundamental laws of Sweden’s constitution are the Instrument of Government, the Act of Succession, the Freedom of Press Act and the Fundamental Law on Freedom of Expression.

Eight political parties active in the country include:

  • The Social Democratic Party
  • The Moderate Party
  • The Green Party
  • The Liberal Party
  • The Centre Party           
  • Sweden Democrats
  • The Christian Democrats
  • The Left Party

The Social Democratic Party has governed the country for 65 years. Sweden is governed by the centre-right minority alliance which consists of the Moderate Party, the Liberal Party, the Centre Party and the Christian Democrats.

(Source: Riksdag)

The governance is at four different levels:

  • National Level
  • Regional Level
  • Local Level
  • European Level

Riksdag, a unicameral Swedish Parliament, is the country’s legislative assembly which comes under the national level. Ridsdag has the authority to implement new laws or to amend existing legislation.

At the regional level, the country is divided into 21 counties. Each county has an administrative board and is governed by the governor. The county administrative board is responsible for certain social welfare matters and regional planning.

At the local level, Sweden is divided into 290 municipalities. Every municipality has an elected assembly and a municipal council responsible for making decisions on municipal matters. 

(Source: Sweden.gov)

Regulatory environment

Sweden Economic Freedom Indices 

(Source: heritage.org)

Sweden’s economic freedom score is 71.9, ranking it the 22nd freest country on the 2011 Index. The country is further ranked 11th out of the 43 countries in the European region.

(Source: heritage.org)

Corruption perception

The Corruption Perceptions Index (CPI) is a survey to measure the perceived level of corruption across countries worldwide.

Sweden is ranked fourth on the Corruption Perception Index (CPI) with a score of 9.2 in 2010. This indicates the corruption level in the public department of the country is very low, compared to its neighbouring countries Norway and Finland.

(Source: transparency.org)

Freedom of information

The nation provides public and commercial broadcast services, which include Sveriges Television (SVT) and TV4. The radio services are provided by Sveriges Radio and Radio Sweden International. Tidningarnas Telegrambyra (TT) is the only nationwide Swedish agency providing complete news service.

Sweden ranks first on the World Press Freedom Index 2010, indicating the media is free to comment or report on any aspect of Swedish life and politics without any influence from the Government.

(Source: BBC, TT, rsf.org)

Newspapers

  • Aftonbladet
  • Dagens Nyheter
  • Expresssen
  • The Local
  • The Scandinavian Insider
  • Goteborgs Posten

Judicial system

The judiciary system of the country consists of two parallel types of courts, the general court and the general administrative court.

The general court deals with civil and criminal cases and is further divided into:

  • Courts of appeal
  • Supreme Court

The general administrative court deals with cases relating to public administration and is further classified into:

  • County administrative courts
  • Administrative courts of appeal
  • Supreme administrative court

(Source: sweden.gov)

[Top] Demographic Overview

In 2009, Papua New Guinea’s female population was 49.2% of the overall population. 

 Papua New Guinea Population by Gender

(Source:World Bank)

Population

Papua New Guinea Population

(Source:imf.org)

Papua New Guinea’s population shows steady rise from 5.78 million in 2005 to 6.34 million in 2009. In 2011, population is estimated to be 6.66 million.

Population balance

In 2009, population below 14 years of age constituted 39.8% and that above 60 years of age made up 4.0% of total population.

(Source: un.org)

Life expectancy

In 2008, the life expectancy at birth was 59 years for males and 63 years for females.

(Source:  World Bank)

Infant mortality rate

In 2009, the country had an infant mortality rate of 52 deaths (per 1000 live births).

(Source: World Bank)

Crude birth rate

In 2009, crude birth rate was registered at 31 (per 1000).   

(Source: unicef.org)

Urbanisation

12.5% of Papua New Guinea’s population is classified as urban.            

(Source: undp, page: 182) 

Migration

International migrant stock till mid 2010 was recorded at 24,600 which comprised 0.4% of the population.

(Source: un.org)

Gender ratio at birth

The country’s gender ratio was recorded at 107.8 (men per 100 women) in 2010.

(Source: undp, page: 182) 

Human development index

The country is ranked 137th on United Nation’s Human Development Index. It falls in the category of ‘Low Human Development.’ HDI integrates a country’s life expectancy, schooling and income. This signifies the overall social and economic development of a nation. A rank between 128 and 162 indicates ‘low human development’ on UNDP’s Index.

(Source: UNDP, page: 141)

[Top] Soft Infrastructure

Total population

The total population in Sweden is recorded at 9.41 million, increasing 0.75%, compared to 2009. In 2009, total male population in the country was 4.65 million and 4.69 million female population.

(Source: National Statistics)

The total population in 2011 is estimated to be 9.49 million.

(Source: National Statistics)

Sweden Population Growth

(Source: National Statistics) 

Average age

In 2009, the average age of an individual was 41 years, with men averaging 39.9 years and women 42.1 years.

(Source: National Statistics)

Gender balance

Representation of gender in the country is almost equal. In 2010, the male population was 4.69 million, which contributed to 49.84% of total population and the female population was 4.72 million, contributing to 50.16% of population.

(Source: National Statistics)

Sweden Population by Gender

Mortality rate

In 2009, the infant mortality rate was registered at 2.49 deaths per 1,000 live births. In the same year the crude birth rate was recorded at 12 deaths per 1,000 individuals, and the death rate was 9.7 deaths per 1,000 individuals.

(Source: National Statistics)

Average life expectancy

In 2010, the average life expectancy was registered at 81.3 years. Specifically, the average life expectancy for males was 79.5 years and for females it was 83.4 years. In 2011, life expectancy is estimated to be 79.7 years for males and 83.6 years for females.

(Source: National Statistics, UNDP)

Migration and urbanisation

In 2009, 11 people (per 1000 inhabitants) immigrated to Sweden and 4.2 people (per 1000 inhabitants) emigrated from Sweden. The total immigrants and emigrants were 102,280 and 39,240 respectively in the same year.

(Source: National Statistics)

Racial/ethnic environment

The ethnicities in Sweden include people from Finland and Sami (from Northern Europe)

(Source: state.gov)

Human development index (HDI)

Sweden is ranked 9th on the Human Development Index (HDI) 2010 conducted by the United Nations. The HDI provides a composite measure of three dimensions of human development: living a long and healthy life (measured by life expectancy), being educated (measured by adult literacy and gross enrolment in education) and having a decent standard of living (measured by purchasing power parity, PPP, income).

(Source: UNDP)

[Top] Hard Infrastructure

Literacy rate

The literacy rate in Sweden is 99%. Furhtermore, primary education is compulsory for all individuals in the country.

(Source: guardian.co.uk)

Education resources

The education level, in Sweden, has been improved over the past three decades. In the 1970s only one out of three Swedes had higher education, but in 2006, 84% of Swedes aged between 25 and 64 years had higher education. Furthermore, One-fifth of the population aged 25-64 has 3 year post-secondary education, and only 15% has compulsory education.

The major population of Sweden is literate, as free and compulsory education is provided to children aged between 7 and 16.

As Sweden is a member of the European Union (EU), it has to adhere to three joint goals specified by the EU to

  • Provide better quality and effectiveness in the educational system
  • Facilitate access to the educational system
  • Open the educational system to the rest of the world

 (Source: National Statistics)

Total educational expenditure for 2009 was SEK 272,081 million, accounting to 8.75% of GDP.

Education Expenditure (SEK million)

Education level

2009

2008

2007

2006

2005

 

Pre-school

50,642

48,217

44,617

40,948

73,663

 

Compulsory school

77,436

77,902

75,296

74,056

29,856

 

Upper Secondary school

37,060

36,089

33,920

31,789

44,598

 

University

52,101

49,538

47,079

45,833

44,598

 

 

(Source: National statistics)

Healthcare resources

The healthcare system of Sweden is decentralized, and 70% of its services are funded by the local government taxes. The 21 county councils are responsible for hospitals and 290 municipalities provide medical care.

(Source: BBC, Swedish healthcare)

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