The Minister for Culture and Tourism Charles Abel says the government recognises much work needs to be done to support industry growth.
Mr Abel's comments come as the government prepares to launch its new PNG Tourism brand on Friday in efforts to boost tourism numbers.
He says the countries flagship airline Air Niugini must offer better services to travellers.
"At the moment there's commuter service running between say Madang and the Highlands. So we've got passengers going to the Highlands and coming back to go to Madang or Rabaul; every time they've got to go back to Port Moresby because there's nothing linking those towns together. And this is forcing the cost of travel in Papua New Guinea up incredibly high."
Charles Abel says issues to do with better aid effectiveness, management of resources and population control also need to be tackled.