Papua New Guinea is on the verge of social and economic meltdown and could descend into anarchy, according to a report released yesterday by an Australian think-tank.
The report, by the Centre for Independent Studies, warns that PNG is in danger of splitting into a patchwork of semi-autonomous fiefdoms run by criminal gangs and warlords - a trend already evident in the oil-rich southern highlands region.
'Papua New Guinea shows every sign of following its Melanesian neighbour, the Solomon Islands, down the path to economic paralysis, government collapse and social despair,' warned the report's authors, the centre's Susan Windybank, and Mike Manning, director of the Institute of National Affairs in the PNG capital Port Moresby.
They found that living conditions for the PNG's five million people had barely improved since the country gained independence from Australia in 1975.
Despite millions of dollars in mining revenue and A$12 billion (HK$56.6 billion) in aid from Australia since 1975, the country is sliding, with much of the wealth siphoned off by corrupt government officials and businessmen.
The country is affected by a chronic lack of investment in roads, education and health, as well as the legal system, armed forces and police.
