MEDIA RELEASE
For Immediate Release
Port Moresby, 6 August 2025
On 6 August 2025, the Bank of Papua New Guinea was pleased to present at the Port Moresby Chamber of Commerce & Industry (POMCCI) Business Breakfast at the Royal Port Moresby Yacht Club on progress since Papua New Guinea’s Mutual Evaluation by the Financial Action Task Force (FATF).
Papua New Guinea’s Mutual Evaluation concluded in October of 2024. That process is followed by a 12-month observation period, which will conclude in October 2025. PNG’s response during this period will inform the FATF’s decision on whether to formally place Papua New Guinea on the grey list.
At the event, Governor of the Bank of Papua New Guinea Ms Elizabeth Genia provided an overview of the work Papua New Guinea’s government agencies must complete to avoid a grey listing in 2026.
“Grey listing is not an outcome we want,” said Governor Genia. “But we are focused on ensuring that our engagement with the FATF is constructive, transparent, and forward-looking.”
“Our response to increased FATF supervision must be built on openness and transparency. That applies not only to our engagement with FATF itself, but also to how we communicate with the financial sector, the business community, and the public.”
While parts of Papua New Guinea’s anti-money-laundering infrastructure were commended in the Mutual Evaluation, such as the cross-agency work done to secure convictions in the Papa Lea Lea drug smuggling case, other areas require immediate attention.
Governor Genia said that combatting money laundering in Papua New Guinea was the responsibility not just of government agencies but of all citizens.
“Any person - any member of the public - can fall under the scope of the Anti-Money Laundering Act when making any payment or remittance above the specified thresholds.”
“And it is not limited to cash. We know that alluvial gold, cryptocurrency and other illicit means are being used to remove money from our country. This damages our every-day citizens, whose money is being sent overseas to fund other people’s lifestyles.”
Governor Genia said that the public could expect the Government to take action in the coming months.
“We need to be hard on crime. Money laundering is bad for our country and our citizens. We need more prosecutions and arrests to show the international community that we are serious about our commitments to combat it.”
Work to address the findings of the Mutual Evaluation is being progressed through the National Coordination Committee, which brings together 23 agencies to work collaboratively on anti-money laundering and counter-terrorism financing issues. The Committee is co-chaired by the Bank of Papua New Guinea and the Department of Justice and the Attorney General, and reports through Treasurer Ian Ling-Stuckey to the Parliament.
“Strong political leadership is essential for Papua New Guinea to meet international standards in combatting money laundering. Prime Minister James Marape has given a clear commitment to strengthening governance, directing all agencies to pursue and confiscate illegal wealth.”
“We are fortunate to be supported by national and international experts, including Mr Rick McDonell, himself a former Executive Secretary of the FATF and an experienced adviser to more than 30 countries, including many threatened with grey listing.”
“We will draw on the wealth of expertise he and others bring to the table to make sure Papua New Guinea is successful in addressing the findings of the Mutual Evaluation between now and January 2026.”
Governor Genia emphasised that a grey listing would have a significant effect on the economy.
“Grey-listing affects us all - it affects investor confidence, it impacts on international trade flows and it increases the cost of doing business,” she said.
“But this process has also been a strong deterrent to bad actors. When we improve our systems, and make more arrests and successful prosecutions, those who seek to undermine our economy through illegal activity will begin to go elsewhere.
“They need to know Papua New Guinea is not a place to bring their business. We want them out of our country.”
ENDS