Papua New Guinea - Country Commercial Guide
Building and Construction Supplies
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Investment in PNG’s building and construction industry has been fueled by an acute shortage of commercial and residential real estate since the mid-2000s – initially triggered by the PNG LNG project and then by the emergence of a growing middle class.

PNG has a fast-growing urban population in need of affordable housing.  PNG’s capital city Port Moresby continued to see a building boom through early 2023 with many commercial and residential developments in the pipeline.  An extractive–driven boost in construction demand is also on the horizon for Morobe Province – the site of the proposed Wafi-Golpu mining project in Morobe Province.

Resources-related projects are likely to remain the sector’s engine, however, there have also been a growing number of residential, hotel, retail, transportation, and office developments in recent years in the capital, Port Moresby, and in Lae, the industrial hub of PNG.

The focus to grow PNG’s construction sector also reflects the PNG government’s signature infrastructure plan on the US$5.5 billion Connect PNG program and PNG Ports’ planned facilities upgrade to major ports throughout the country.

Leading Sub-Sectors

  • Road and Port Construction
  • Commercial Construction
  • Water and Wastewater Treatment
  • Power/Energy


The Construction sector is estimated to grow by 3 percent and real estate is estimated to grow by 2.5 percent in 2023.  PNG Treasury highlighted that growth in these sectors from 2022 to 2023 benefited from increased government spending on major infrastructure (ports and roads) and other related government spending.

Port Moresby and Lae offer opportunities for construction of high-rise apartment buildings, office buildings, and hotels while low-cost housing is also a priority in townships throughout the country where there are opportunities for supply of building and constructions materials locally available in the market.  PNG’s Special Economic Zones provide investment opportunities for U.S. companies to invest in the construction of apartments, office buildings, retail outlets and hotels, including roads and other infrastructure within the zone.  In addition, security products ranging from fencing to alarm systems, cameras, remote-controlled gates, and window and door protective grills and mesh systems constitute an important sub-sector.

With funding from several infrastructure projects, partners like the Asian Development Bank, Japan International Cooperation Agency, Australia’s Department of Foreign Affairs and Trade and People’s Republic of China governments, the major roads and ports projects are ideal opportunities for U.S. companies looking at large infrastructure projects.


PNG Entities and Associations in this sector:

  • PNG Property Developers Association
  • PNG Physical Planning Board
  • PNG Department of Lands & Physical Planning
  • Local Builders Board