Prime Minister Hon. James Marape has strongly rejected claims made by East Sepik Governor Allan Bird alleging the existence of “slush funds” under the Office of the Prime Minister and suggestions that Government funding allocations are being used to influence the 2027 National General Election.

Prime Minister Marape described the comments as irresponsible, misleading, and damaging to public confidence in the country’s lawful budgetary and governance processes.

“The people of Papua New Guinea deserve facts, not politically-driven narratives designed to create suspicion and division,” Prime Minister Marape said.

“All budget appropriations passed by Parliament are done through transparent legal processes under the national budget framework and are subject to scrutiny by Parliament, Treasury, the Department of Finance, Auditor-General, and relevant oversight agencies.”

Prime Minister Marape said it was incorrect and misleading to describe contingency funds, government obligations, district maintenance allocations, or development appropriations as “slush funds” controlled personally by the Prime Minister.

“These are lawful appropriations passed by Parliament to enable Government operations, national obligations, emergency responses, development programmes, and service delivery,” he said.

“No Prime Minister can wake up and spend public money outside the legal budget process. Every allocation has a purpose, a process, and an accountable pathway.”

Prime Minister Marape said Papua New Guinea’s budgeting system involved all Members of Parliament and Government agencies through formal parliamentary approval processes.

“The same Members of Parliament Governor Bird refers to are elected leaders representing the people of this country,” he said.

“The national budget is debated openly in Parliament before being passed. It is not hidden from the public.” Prime Minister Marape further clarified that the allocations Governor Bird referred to fall under Treasury Department budget items such as Item 207, including miscellaneous expenditure and Secretary’s Advance appropriations, which are longstanding provisions contained in national budgets under successive governments.

“These appropriations are managed under established Treasury and public finance procedures. The Prime Minister has no personal discretion or unilateral authority over how these funds are applied or disbursed,” he said.

“The Budget Management Committee (BMC) process also regulates and oversees all spending to ensure compliance with approved government financial procedures and accountability mechanisms.”

“These budget items existed under previous governments, exist under the current government, and will continue under future governments as part of normal state financial operations.”

Prime Minister Marape said it was therefore wrong and misleading to portray lawful Treasury appropriations as personal political funds controlled by the Prime Minister.

Prime Minister Marape said his Government remained committed to equitable resource distribution across all provinces, including East Sepik Province.

“We have continued supporting East Sepik and every province regardless of political affiliation,” he said.

“Project submissions are assessed on merit and aligned to our Medium-Term Development Plan and national priorities.”

Prime Minister Marape urged leaders aspiring to higher office to present constructive alternatives instead of undermining public confidence in democratic institutions.

“If leaders have policy disagreements, let us debate policies responsibly,” he said.

“But let us not create the false impression that Papua New Guinea is collapsing or that democratic processes are compromised simply for political advantage.”

Prime Minister Marape reiterated that his Government’s focus remained on economic recovery, infrastructure development, job creation, agriculture, law and order, and improving basic services throughout the country.

“Our Government remains committed to serving the people honestly, transparently, and fairly,” he said.

“We will continue to unite the country and move Papua New Guinea forward together as one nation.”