Before gaining independence in 1975, Papua New Guinea's (PNG) economy was significantly influenced by Australian colonial economic policies. The overall view of PNG's economy during this period is characterized by a focus on resource extraction and export-oriented growth, primarily in sectors such as mining, agriculture, and forestry.
The colonial administration emphasized the development of infrastructure to support resource extraction while largely neglecting broader economic development for the local population. While some revenue was generated for economic development, much of the wealth was repatriated to Australia or concentrated among foreign companies. The local economy remained largely subsistence-based, with limited opportunities for indigenous participation in higher-value economic activities.
Overall, PNG's economy prior to independence was marked by dependency on Australia, an export-driven focus on natural resources, and limited socio-economic development for its indigenous population, leading to challenges that persisted even after gaining independence.
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