Financial services: a sector profile
A profile of the financial services sector in Papua New Guinea, including information on banks, financial institutions, superannuation and insurance.
A Port Moresby branch of BSP, PNG’s largest bank. Credit: BAI
Industry snapshot
PNG’s financial services sector, which is regulated by the Bank of Papua New Guinea, is considered amongst the most competitive in the Pacific region.
Seven commercial banks operate: Bank South Pacific (BSP), Kina Bank, Westpac PNG, ANZ PNG, CreditBank PNG, TISA Bank and the National Banking Corporation.
While retail banking has grown, the remoteness of the bulk of PNG’s population and its challenging terrain mean that physical retail outlets are costly to establish and maintain. To increase financial inclusion and financial literacy, there has consequently been a heavy focus on mobile and online banking, which is gaining traction, including in remote areas.
PNG nevertheless has one of the lowest levels of formal banking in the world, with 75 per cent of the population estimated to be without formal banking services.
The country also has savings and loan societies as well as licensed financial institutions including superannuation funds, microfinance companies, money remitters, money changers and foreign exchange dealers.
Banks
PNG is well-serviced by banking services, and over the past decade there has been good liquidity in the banking system. The largest bank by assets and lending, Bank South Pacific, is listed on PNGX and has an extensive branch network, and subsidiaries in other Pacific territories such as the Solomon Islands, Samoa and Fiji. It has around one million retail customers and is the country’s leading lender of PNG’s currency, the kina.
The other two main retail banks in PNG are Kina Bank, which also has a PNGX listing, and Australia’s Westpac. ANZ PNG, which like Westpac is a subsidiary of one of Australia’s big four banks, conducts corporate and commercial banking in PNG only.
Competition in the banking sector has increased in recent years, with CreditBank PNG, TISA Bank and National Banking Corporation all receiving commercial banking licences from the Bank of Papua New Guinea in 2024.
Financial institutions
Aside from the banks, there are currently 12 licensed financial institutions (LFIs) in Papua New Guinea. One of these, Moni Plus, has made public its ambitions to apply for a banking licence.
A concerted effort towards financial inclusion, led by the Bank of Papua New Guinea, has seen the rise of microfinance in PNG. Microfinance is offered by LFIs such as Nationwide Microbank (branded as MiBank) and Women’s Micro Bank (Mama Bank).
Superannuation
Superannuation in PNG is compulsory for companies of 15 employees or more (although companies with smaller numbers of workers may participate voluntarily). Organisations are authorised to provide superannuation services in PNG by the Bank of Papua New Guinea under the Superannuation (General Provisions) Act 2000.
PNG has four licensed superannuation funds: Nambawan Super, National Superannuation Fund (Nasfund), Pac Super and Defence Force Retirement Benefit Fund.
The two largest are Nambawan Super, with K13 billion in net assets and 245,514 members at December 2025; and Nasfund, with K9.45 billion in net assets and 744,213 members at December 2026. Both funds play a major role as investors in the domestic economy.
Insurance
PNG’s insurance industry is regulated under the Insurance Act 1995 by the Office of the Insurance Commissioner, and under the Life Insurance Act 2000 by the Bank of Papua New Guinea.
The PNG Insurance Council is the peak industry body.
State-owned Motor Vehicle Insurance Limited is the sole compulsory third party insurer of all motor vehicles in PNG.
Key providers of general insurance include Alpha Insurance, Niugini Assurance and Pacific MMI Insurance.
The four licensed life insurance companies are BSP Life (PNG), Capital Life Insurance Company, Life Insurance Corporation (PNG) and Pacific MMI Insurance. The industry is also serviced by a number of life insurance brokers, which are licensed (by the regulator) to transact PNG domiciled business in the local insurance market or offshore (by means of exemption). Key insurance broking companies include Marsh (PNG), AON Risk Services and Asian Insurance Brokers.
The PNG insurance industry is an ‘admitted insurance market’. The sector benefits from regulations that make insuring locally the norm rather than the exception. Formal permission is required from the regulator to place PNG-domiciled risks offshore.
Workers’ Compensation Insurance cannot be placed offshore due to the confines of the Act on this class of insurance.
