New Caledonia, a French overseas collectivity, is facing both political and economic challenges that have led to the territory receiving over 250 million euros in emergency aid from the State. Violent clashes between Kanak separatists, loyalists, and law enforcement since May have severely impacted businesses and slowed economic activities, particularly in the metallurgical sector.
The financial toll of the crisis has been significant, with the Caledonian government paying around 1.5 billion euros in demonstrations and asking for aid from the French government. To help local businesses recover, the State has established a solidarity fund to compensate for lost revenues between May and June, with a repayable advance of 100 million euros to the New Caledonia government.
Approximately 20 million euros in aid are expected to be provided to VSEs and SMEs in the region, with thousands of applications already received. The southern province, where the capital Noumea is located, has special support funds allocated due to being the epicenter of the crisis. The High Commissioner notes that around 6,000 jobs have been lost directly, with an additional 15,000 employees expected on partial unemployment in the upcoming weeks.
The upcoming 2025 finance bill will be crucial for the New Caledonian economy and will determine further support from the State. Ongoing discussions about the future of the territory and its economic recovery are taking place as a result of this crisis.
In conclusion, New Caledonia’s crisis is not only political but also economic, leading to a significant financial toll on businesses and individuals alike. The establishment of a solidarity fund by