Sir Julius Chan

"Late this afternoon Papua New Guinea Prime Minister Sir Julius Chan announced that he, Deputy Prime Minister Haiveta and Defence Minister Ijape would stand aside and that Cabinet would appoint an acting Prime Minister" Foreign Minister Don McKinnon said tonight.

"This marks another chapter in one of the most difficult and dramatic periods in Papua New Guinea's political history"

"I am encouraged by signs that cool heads are prevailing in Port Moresby after nearly two weeks of tension" Mr McKinnon said. "I am also encouraged by reports that the large crowd outside Parliament House is beginning to disperse. I also want to see the PNG military forces back in their barracks and well out of front-line politics".

"Papua New Guinea is going through a defining moment in its history" Mr McKinnon continued "We look to see political stability and constitutional government prevail up to and after the elections in mid-year" Mr McKinnnon concluded.