The deputy director of the Bank of PNG says prices of fuel and food declined in the second half of last year but businesses have not reduced import costs to consumers.
The Newspaper, the National reports Loi Bakani as saying at the time the kina appreciated during the second half of last year, the prices of fuel and food declined during the same period.
He says that would have some positive flow on effects to domestic prices, but businesses have not passed on the benefits of reduced import costs to consumers.
Mr Bakani says the Bank hopes that there is still a lag effect, and goods bought under the appreciated rates, will be sold at lower prices.
He says firms must be fair and pass on the benefits.