Papua New Guinea is situated on the world's second largest island, prey to volcanic activity, earthquakes and tidal waves. Linguistically, it is the world's most diverse country, with more than 700 native languages.

OVERVIEW

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Around 80% of Papua New Guinea's people live in rural areas with few or no facilities. Many tribes in the isolated mountainous interior have little contact with each other, let alone with the outside world, and live within a non-monetarised economy, dependent on subsistence agriculture.

Only around 1% of Papua New Guinea is suitable for growing cash crops. Coffee, cocoa and coconut production was hit severely by the El Nino weather phenomenon in 1997.

Mineral deposits are extensive, and there are reserves of petroleum and natural gas, but difficult terrain and inadequate infrastructure make exploitation slow.

The separatist struggle in the neighbouring Indonesian province of Irian Jaya often spills over into Papua New Guinea. Separatist rebels are reported to have crossed the border to set up training camps. Many Papua New Guineans are said to be sympathetic to their aims, but Prime Minister Morauta has promised to increase security in the border region.

Papua New Guinea had to deal with separatist forces of its own on the island of Bougainville in the 1990s. A 1998 peace deal ended nine years of conflict, during which up to 20,000 people were killed, but Bougainville still aspires to nationhood.

FACTS

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PAPUA NEW GUINEA FACTS

Population: 4.6 million

Capital: Port Moresby

Major language: English (official), Pidgin, native languages

Major religions: Christianity, indigenous beliefs

Life expectancy: 57 years (men), 59 years (women)

Monetary unit: 1 kina = 100 toea

Main exports: Gold, petroleum, copper, coffee, palm oil, logs

Average annual income: US $760

Internet domain: .pg

International dialling code: +675

LEADERS

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Head of State: Queen Elizabeth II, represented by Governor-General Sir Silas Atopare

Prime Minister: Sir Michael Somare

The founding father of independent Papua New Guinea, Somare came to power in August 2002 after a violent and chaotic election. His National Alliance party won the poll, and MPs unanimously elected Somare premier.

"The Chief" on the campaign trail

One of Somare's first acts was to halt his predecessor's privatisation programme, saying the government needed more time to evaluate state assets.

Affectionately known as "The Chief", Somare has twice before been Papua New Guinea's prime minister, and led the country to independence from Australia in 1975. He is widely regarded as being untainted by corruption.

Somare's challenges include tackling the sick economy, poor infrastructure, chronic unemployment and rampant crime.

Foreign Minister: Sir Rabbie Namaliu

Finance Minister: Bart Philemon

Defence Minister: Yarka Kappa

MEDIA

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There are three government-owned radio networks and two private radio outlets. The state-run National Broadcasting Corporation operates a national service and 19 provincial radio stations, as well as Kalang Advertising, its business arm.

The state radio stations' news coverage is generally balanced. A private commercial station, Papua New Guinea FM, operates two nationwide radio stations. Papua New Guinea FM is jointly owned by Communications Fiji Ltd.

In February 2001 the regional commercial FM stations 89.9 FM Central and 94.7 FM Morobe were granted a national FM radio licence; these stations are owned by the Hirad (Hiri Radio) company. Hirad is developing regional broadcasting within the country.

Two daily newspapers are foreign-owned. The private press, including weeklies and monthlies, is active in reporting on corruption and other sensitive matters.

The press

The National

The PNG Independent

The Post-Courier

Television

EMTV - sole commercial TV broadcaster

Radio

National Broadcasting Corporation

Papua New Guinea FM