Prime Minister James Marape has ordered an independent audit into the Government’s SME funding programme following public allegations over fund management, while reaffirming continued support for small business development.
The Prime Minister said concerns raised publicly over the administration and disbursement of SME funding are being taken seriously but stressed that allegations should not be treated as established facts until independently assessed.
He said the audit aims to establish the facts, strengthen public confidence and protect the integrity of one of the Government’s key economic empowerment programmes.
“SME development remains one of the cornerstone policies of my government because it is central to creating jobs, empowering Papua New Guineans, and building a stronger domestic economy,” Prime Minister Marape said in a statement yesterday.
He said since 2019 the Government and Pangu Pati had consistently identified SMEs as a major policy priority aimed at expanding local business ownership and increasing participation in economic growth.
“Our vision is to build an economy where more Papua New Guineans own businesses, create employment and participate meaningfully in national economic growth,” he said.
The Prime Minister said substantial public funding had been allocated to support local entrepreneurs, and it was important that all allocated funds reached intended recipients.
To verify concerns and provide accountability, Marape said he had directed the National Monitoring and Coordinating Authority together with the Department of the Prime Minister and National Executive Council, through the Chief Secretary, to engage an independent external audit firm.
According to the Prime Minister, the audit will review the total amount allocated to the SME programme, how much funding has been released, where the funds were distributed and whether disbursements complied with approved government processes.
“I want an independent, professional and transparent assessment so that the facts are established beyond doubt,” he said.
“The purpose of this audit is not only to establish the truth regarding the allegations but also to safeguard the integrity of one of the Government’s most important economic empowerment programmes.”
Prime Minister Marape said the audit findings would determine any next steps.
“If the audit confirms that everything has been managed properly, then that will provide assurance to the public. If shortcomings or irregularities are identified, appropriate corrective action will be taken in accordance with the law,” he said.
He appealed to the public and commentators to allow the audit process to proceed without speculation or premature conclusions.
“I acknowledge the concerns expressed by the public. Your concerns have been heard and are being taken seriously.
“These matters remain allegations, and we will establish the facts through an independent process.”
The Prime Minister said the Government intends to publicly release the findings once the audit is completed and outline any subsequent action.
Marape reaffirmed that SME growth remains central to the Government’s broader economic strategy of increasing private sector participation and reducing reliance on public sector employment.
“Our commitment to SMEs remains unwavering. We are determined to build one million economically productive Papua New Guinean families through SME growth, agriculture and entrepreneurship.
“This audit is about protecting the integrity of that commitment and maintaining public confidence in the programme,” he said.