Former top bankers appointed to Central Bank Board

The National Executive Council have picked former heads of Bank South Pacific [BSP] and Australia New Zealand [ANZ] Banks to be members of the country’s Central Bank board.  

Prime Minister James Marape announced yesterday that, the former BSP chief executive officer Sir Robin Fleming and former ANZ Country Head, Mark Baker, will serve as board members of Bank of PNG [BPNG].

The other board members are former Treasury Secretary Dairi Vele and Jeffery Yombon, a veteran BPNG manager and assistant governor, who has ascended to the role of deputy governor.

Prime Minister Marape who also holds the treasury ministry said "Cabinet has resolved to bolster the Central Bank with seasoned professionals, particularly those familiar with our financial sector and the bank's monetary policy.

"We acknowledge and thank these gentlemen for their willingness to serve in these merit-based roles. We are eager to collaborate with the Board, Management, and Governor Elizabeth Genia to meet the pressing economic needs of our nation."

Mr Marape also highlighted his government reform plans for BPNG, "significant strides have been made since the last overhaul [reform] by former Prime Minister [late] Sir Mekere Morauta, in 2000. Our economy, since then, has grown from under K15 billion to over K110 billion, substantially increasing BPNG's workload.”

The Prime Minister underscored a pivotal change in governance, stating, "Unlike before, the BPNG Governor now reports to the Board, ensuring proper oversight and alignment with our goals to strengthen the bank's monetary policy and, by extension, the economy."

Amid these enhancements, Prime Minister Marape reaffirmed the central bank's autonomy, emphasising a distinct separation between the Treasury's Fiscal Policy and the Bank's Monetary Policy.

"This reformation, inclusive of appointing highly capable and literate individuals to the Board and Management, is geared towards fulfilling the heightened expectations placed on the Central Bank to propel economic growth," Mr Marape said.