Pacific Tourism Organisation Partners with Papua New Guinea Tourism Promotion Authority (PNGTPA), Tourism for First Business Confidence Index Survey

The Pacific Tourism Organisation (SPTO), in partnership with the Papua New Guinea Tourism Promotion Authority (PNGTPA), has released Papua New Guinea’s first Business Confidence Index (BCI) report. This report provides valuable insights into business outlook and tourism recovery, helping guide smarter policies and stronger private sector involvement

PNG is one of 10 Pacific Island nations participating in the PTDI, alongside the Cook Islands, Niue, Kiribati, Samoa, Vanuatu, Tonga, Solomon Islands, Timor-Leste, and FSM-Yap. Funded by the New Zealand Government, PTDI continues to play a key role in strengthening regional tourism strategies through data-driven research, including the bi-annual IVS, the annual Business Confidence Index (BCI), and the annual Community Attitude Survey (CAS).

The BCI survey was conducted from November 2024 to February 2025, gathering 299 responses, with 206 valid entries analyzed. The effort was made possible through a strong partnership between SPTO and PNGTPA, with both organisations working together to reach businesses across all four regions of the country.

SPTO Chief Executive Officer Christopher Cocker highlighted the importance of the collaboration, “This achievement reflects the strong leadership of PNGTPA. Their close connection with the local business community and focus on data-driven planning were key to collecting valuable insights that will help shape the future of tourism in Papua New Guinea.”

While responses came from a wide range of sectors, it is important to note that the sample was primarily focused on tourism businesses — a deliberate approach aligned with the survey’s aim of understanding tourism recovery and business confidence within the sector. As a result, 62% of respondents were tourism-related businesses, while the remainder represented sectors such as real estate, healthcare, media, engineering, and events.

The survey also found that 90% of participating businesses were Papua New Guinean-owned. More than half (52%) were based in the Southern region, followed by Momase (25%), Islands (25%), and Highlands (22%). The report found that large tourism businesses generated an average annual revenue of PGK 10.3 million, while micro-enterprises averaged PGK 15,594. Labour costs accounted for 33% of business expenditure, inventory 37%, and other operating costs 31%. Notably, 47% of goods and services were sourced locally, with 53% imported.

Despite persistent challenges, there is optimism across the sector. 59% of businesses reported they were actively hiring, although workforce availability (40%), recruitment (33%), and financial barriers (19%) remain key concerns. Broader systemic issues were also cited, including security (21%), infrastructure (19%), and limited government support (10%).

Even so, many businesses see growth opportunities through increasing visitor demand (19%), strategic partnerships (16%), expansion opportunities (15%), and enhanced government support (14%).

PNGTPA CEO Eric Mossman Uvovo welcomed the report and praised the partnership with SPTO: “The BCI report is an important step forward in understanding the real-time challenges and opportunities our businesses face. We thank SPTO for its technical leadership and are proud to have partnered in this effort. This collaboration reflects our shared commitment to shaping a resilient, inclusive, and data-driven tourism sector for PNG.”

This report marks the beginning of a data-driven approach to tourism recovery and private sector engagement in Papua New Guinea. SPTO and PNGTPA will use the findings to guide planning, investment, and business support initiatives.

“The Business Confidence Index is a key part of the New Zealand-funded Pacific Tourism Data Initiative, designed to capture local perspectives and guide tourism development that truly reflects community needs. We sincerely thank NZMFAT for funding this important survey,  the PNGTPA team for their strong collaboration and the businesses that contributed their time and insights,” said Mr Cocker.