Investment Promotions (Amendment) Act 2022
In the first sitting of Parliament for the 2023 calendar year, the Marape-Russo Government unanimously passed the Investment Promotions (Amendment) Bill 2022. Prime Minister James Marape welcomed the passage of the Bill, saying “this bill is a first step towards clearly segregating and ring-fencing businesses that PNG Citizens can participate [in].” He went on to say, “we made a commitment to empower our people to be engaged in businesses, a key focus which differentiates our government from past governments.”
The key changes introduced by the amended Act are:
changing the foreign certification system to process applications quicker (automatically rejecting applications for ‘Reserved Activities’)
reviewing the ‘Reserved Activities List’ at least every three (3) years
the introduction of more reporting obligations on foreign investors, and the provision of powers to cancel certification where key business laws are breached
improving IPA’s enforcement and compliances functions, and making better allowances for cross-agency enforcement
the creation of a dedicated Registrar of Foreign Investment, that will oversee the system and possess the power to speed up wanted incoming investment, automatically deny unwanted investment, and enforce compliance.