Greater Autonomy

In this book, the author undertakes a review of the issue of greater autonomy implications on the Intergovernmental Financing Agreement in Papua New Guinea. One of the key effects of greater autonomy is the inability by the Subnational Governments (SNGs) to raise revenue own source revenue and the factors contributing to that, as well as the impact of any limits on the fiscal autonomy i.e., internally generated revenue. PNG has a system of Provincial Government (PG) with an institutional arrangement which is not a one size fits all. According to section 187G of the constitution of PNG, it clearly provides for the establishment of PG. It must be understood that PNG politics supercharges the rivalry between national and provincial politicians which often undermines the principles of local governance and decentralization. This in turn provides arguments for or against decentralization reforms in PNG. This explains the fragmented and unstable nature of the politics which has to some extent created underlying political support for greater provincial autonomy. The book is aimed at shedding light on implications of greater autonomy from an argument of Intergovernmental Fiscal Policy.