USP Electronic Research Repository

Monetary policy transmission mechanism in Papua New Guinea

Jayaraman, Tiruvalangadu K. and Choong, C.K. (2012) Monetary policy transmission mechanism in Papua New Guinea. In: Monetary Policy: Roles, Forecasting and Effects. Nova Science Publications, New York, pp. 111-138. ISBN Print 161942181X Online 9781619421813

Full text not available from this repository.

Abstract

Amongst the 14 independent Pacific island Countries (PICs), Papua New Guinea (PNG) is unique in several aspects. It is the largest island country in terms of both geographical area and population. Unlike other PICs, it is richly endowed with mineral and non-mineral resources and hence its exports are much more diversified. Mineral and non mineral tree exports since the mid 1990s have helped the country to emerge with trade surpluses and build up international reserves. Prudent monetary and fiscal policies especially have helped PNG to create sufficient fiscal space to fight the adverse effects of the ongoing global recession since 2008. PNG is the only PIC with a floating exchange rate regime unlike the other five PICs which have currencies of their own. The amended Central Bank Act of 2000, which set price stability as primary macroeconomic goal of the Bank of PNG, the country’s central bank has further empowered it with greater autonomy than ever before. This chapter examines the effectiveness of monetary policies pursued so far under different elected governments and under different economic conditions with specific focus on transmission mechanism of monetary policy during the last 31 years (1979-2009).

Item Type: Book Chapter
Subjects: H Social Sciences > HG Finance
Divisions: Faculty of Business and Economics (FBE) > School of Economics
Depositing User: Ms Shalni Sanjana
Date Deposited: 23 Jul 2012 21:15
Last Modified: 09 Jun 2016 11:13
URI: http://repository.usp.ac.fj/id/eprint/4955
UNSPECIFIED

Actions (login required)

View Item