Central Governor Hon. Rufina Peter has commended the National Economic & Fiscal Commission and the Department of Treasury for their leadership in conducting the review of the Intergovernmental Financing Arrangement.
Governor Rufina Peter made the commendation in her keynote address on Monday 2nd of October 2023, when officiating at the opening of the final leg of the consultative workshop on the review of the Intergovernmental Financing Arrangement for the Southern Region.
She also commended the guidance by the Provincial and Local Level Services Monitoring Authority (PLLSMA) Sub-Committee on Intergovernmental Financing Arrangement in the proceedings of the review, as they have done in the previous three regions of Momase, Highlands, and the New Guinea Islands.
When welcoming the participants from the Southern Region including the provinces of West New Britain and Eastern Highlands, Governor Peter told them that their presence at this final review marks a significant stride towards a stronger, more equitable future for Papua New Guinea (PNG).
Looking at the broader context of development in such a review, Governor Peter said in the next two years by 2025 PNG will be turning 50 years which is asignificant milestone for the country.
With the PNG Strategic Development Plan to lapse in 2030, she reminded everyone that time is of the essence in how they continue with the efforts to make sure that the systems or the responsibilities that they have in the systems ensure the development outcomes are achieved.
Governor Peter added that it is about time that we start to have a specific focus and that focus is to look at laying the foundation now for the next 50 years.
She said that in two years when the Country celebrates its 50 years, we should be looking at laying those appropriate foundations.
In regards to laying those appropriate foundations, Governor Peter described this current review of the Intergovernmental Financing Arrangement as very timely for thatmatter.
Governor Peter said it should be long-term so that the systems, mechanisms, and structures are conducive to producing the outcomes the people deserve.
She also said the reforms such as the 1995 had functions transferred without the funding that was required to make that system work.
Governor Rufina Peter said currently the planning alignment from National, Provincial, and down to the district and LLGs has lost its focus and as a result, the budget appropriation has also lost its focus.
She says while the government has the intention to deliver there is also time now to look at some of these fundamentals in terms of structures, mechanisms, and systems, that were intended to improve service delivery and therefore development outcomes.
Central Governor Rufina Peter told participants attending the workshop on IGFAR under the theme “Strengthening the Financing Systems for Greater Empowerment, Sustainable Development, and Economic Growth” that the review is a component of a bigger architecture in development planning, budgeting, and implementation.
She iterated that strengthening the financial system is an integral part of the review process adding that the review also plays a pivotal role in financial mechanisms and systems within the country.
She said by strengthening the systems we aim to make them more efficient, transparent, and more responsive to the needs of the people.
Governor Peter also highlighted the need to regularly monitor and assess the effectiveness of the financial mechanisms and systems in delivering the desired socio-economic development outcomes