Papua New Guinea Faces Unprecedented Chaos on "Darkest Wednesday" The 10th of January 2024.

On Wednesday, the 10th of January 2024, Papua New Guinea experienced unprecedented chaos, leading to what has been termed as "PNG's Darkest Wednesday." The day began as usual, with people going about their daily routines in the capital city. However, a group of disgruntled police officers, unhappy with their pay cuts, confronted the Prime Minister, causing disciplinary forces to stand down on their duties, resulting in widespread chaos.

The government admitted an oversight in the payroll process, which affected the taxation of security forces' salaries. The issue stemmed from a temporary tax relief measure related to the tax-free threshold, which was intended to expire on 31st December 2023. The government's Alesco system failed to reconfigure on time for the first pay period of January 2024, leading to the chaos.

The repercussions of this event were substantial. Many businesses suffered property and income losses, leading to job cuts for thousands of Papua New Guineans. The government's efforts to build a positive investment climate in the country were severely impacted, with high levels of corruption, mismanagement, and difficult infrastructure exacerbating the situation.

Anthony Smare, Chairman of the PNG Chamber of Energy and Resources, expressed deep concern, stating that the events marked a tragic setback for Papua New Guinea. He emphasized that the country had worked tirelessly over the past decade to improve its standing in the international investment community, and the events of "Darkest Wednesday" would have long-lasting effects, potentially taking a decade to recover from.