As the bubble expanded, securitization contracts did not provide enough incentive to discourage shoddy underwriting practices. In the aftermath, the inadequacies of servicing contracts have contributed to the agonizingly slow pace of mortgage modifications and repeated breakdowns in the foreclosure process.
A pilot micro-bank which was launched in Wau, Morobe province, in 2004 has shown strong signs of growth by expanding its operations into the city of Lae after one year of commencement. This venture is technically owned by the PNG Institute of Banking and Business.