· EconomyPapua New Guinea is rich in natural resources, but exploitation has been hampered by the rugged appearance of elaborate, high cost of infrastructure development, the issue of legislation that seriously, and the status of land system which makes identifying the owner of the land for the purpose of negotiating the Treaty against it still has issues. Agriculture provides a livelihood for 85% of the population. Mineral deposits, including oil, copper, and gold, contributed 72% of export earnings. The country also has a pretty coffee industry is worth.Former Prime Minister Sir Mekere Morauta tried to restore integrity to State institutions, stabilize the kina, restore stability to the national budget, privatize public enterprises where appropriate, and ensure ongoing peace on Bougainville following the 1997 agreement which ended Bougainville's secessionist unrest. Morauta's Government reached a golden age when attracting international support, in particular the support of the IMF and the World Bank for the sake of securing development assistance loans. Quite a great challenge faced by Prime Minister Sir Michael Somare, including efforts to strengthen investor confidence, continuing efforts to privatize government assets, and maintains support from members of Parliament.In March 2006, the UN Committee for development policy called for Papua New Guinea's status as a developing country was reduced to underdeveloped countries because of economic and social stagnation mulur. However, an evaluation by the International Monetary Fund in late 2008 found that a combination of monetary and fiscal policy is right, and high global prices for mineral commodity exports, have supported the recent buoyant economic growth and macroeconomic stability of latest Papua New Guinea. Real GDP growth, at over 6% in 2007, and was expected to continue to be strengthened in 2008.
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