Kina Facility Rate up from 7% to 8%

According to the NBC website The Bank of Papua New Guinea (BPNG) has increased its Kina Facility Rate from 7% to 8% for December 2008. Which means that the BPNG is trying to tighten its monetary policy stance. NBC also reports that domestic fuel prices has fallen like international trends, but the costs of food hasn't followed.

I am no economist but I was thinking if the BPNG wants to increase the amount of savings may be they should try from a different angle like giving people a tax incentive to contribute more money to their Superannuation funds. For example in other countries like Australia you are not taxed for contributing to Superannuation. Here in PNG you are taxed for contributing to Superannuation. Then you are taxed again when you withdraw your super so as normal in PNG you are in a lose lose situation where the only person that wins in the tax lady.

I put in the lady bit because the current CEO of the PNG IRC is a lady. Even though if you were to go to the IRC website you would find that it describes the IRC sturcture: 

"CEO of IRC is the Commissioner General. Below him"

It seems that Betty has forgottern to tell her IT Department that she is a female.