Papua New Guinea - Education Budget Brief 2024

Overview & Synopsis

Investing in people is the most important investment Papua New Guinea (PNG) can make for its future prosperity. Data suggests that PNG is underutilizing its people's potential: it has the lowest rate of growth in per capita wealth among all of its peers since 1995. More excellent investment in human capital would drive economic growth in PNG. However, the conversion of natural capital to physical and human capital is not occurring to a sufficient extent. If PNG does not reduce its heavy reliance on natural resources, then once the current economic boom ends, PNG will return to a trajectory of meager per capita growth (see World Bank 2024 for more details). Education outcomes are worrisome. Less than half of young people aged 20-24 have the foundational skills (basic literacy and numeracy skills) needed to succeed in work and life, placing PNG’s future development aspirations at risk. A cohort analysis focusing on today’s young people (age 20-24) suggests that nearly sixty percent of these young people (58 percent) left school with either no or just a primary education, and those who have left school cannot read with understanding.