Papua-New Guinea

Two Kinds Of Policy Makers Visit Papua-New Guinea

It was pure coincidence that as the Australian Prime Minister, Sir Robert Menzies, Territories Minister, Mr.

Hasluck, Health Minister, Senator Wade, and Works Minister, Mr.

Freeth, moved into Papua and New Guinea in the first week of Septem ber, the World Bank Mission (10 members) moved from P-NG into Sydney and Canberra, on its way home to Washington.

THE Prime Minister, attended by the other Ministers, was to for mally open the conference of the Western Pacific Regional Committee of the World Health Organisation in Port Moresby on September 5.

He was then to fly to Goroka for two days at Goroka, Mount Hagen and Banz.

On September 7, the Ministers were to assemble again north of Port Moresby, where Sir Robert was to formally open the new Sirinumu Dam, on the Laloki River.

The Prime Minister planned to spend the night on the cool Sogeri tablelands, and fly back to Canberra on the Bth.

Policy Statement

It had been hoped that, as a result of this tour, and of opinions expressed by the World Bank Mission after its examination of the Territory’s economy, the Australian Prime Min ister would indicate whether Can berra had any plans for protecting Australian investments in P-NG.

It was announced, as PIM went to press, that the Prime Minister would discuss Australian policy in P-NG in a speech over Port Moresby radio on September 6. This could be an event of significance to the Territory.

According to a statement in Parlia ment, Australia, in the last 12 years, has given P-NG no less than £150,280,000. The total Administra tion expenditure there, including local revenues, was estimated at £220 mil lion. The investment there of private capital, within the same period, runs into tens of millions of pounds.

The World Bank officials—who went to the Territory in June at Can berra’s request to examine the P-NG economic potential—have commented on the fact that Australia has spent enormously in preparing the natives for self-government, preparatory to

Australia withdrawal; but has done pitifully little to establish the industnes that will be necessary if the natives are to have a self-sufficient economy.

The mission is believed to have pointed out, also, that even with those enormous grants from Australia, the Administration itself could not be expected to establish a self-sufficient economy—that there must be investment by private enterprise from outside, skilfully directed and generously financed.

Members of the mission, during their few days in Sydney and Canberra, had far-reaching conversations

with the heads of Australian finance and trading corporations about invest ment in P-NG.

It is believed the mission was told, quite frankly, that Australian corpora tions would not invest in New Guinea unless there were guarantees from Canberra of security for invest ments against political dangers, plus some change in land-ownership poli cies.

The mission leader, Mr. K. R. Iver son, before leaving Moresby, said that the Territory’s resources—especially agricultural land, forests, and fish— could be developed as part of a good economic structure.