Without convincing the political and economic actors of the territory, the Overseas Minister, François-Noël Buffet, on a trip to New Caledonia on Thursday, October 17, promised the “continuous efforts” financial resources from the State to help the archipelago whose economy is in difficulty.
The minister, whose room for maneuver is limited by the ongoing examination in Parliament of the Finance Bill (PLF) 2025, announced “continuous state support”which has injected 400 million euros into the New Caledonian economy since the start of the crisis, which has caused thirteen deaths and billions of euros in damage in five months.
The State will finance “100% reconstruction of educational establishments and 70% reconstruction of other public buildings”François-Noël Buffet also declared to the Agence France-Presse (AFP), a measure impossible to quantify immediately since it will try to compensate the “continues to be dependent” after insurance compensation. Regarding the budget for 2025, it foresees, according to the minister, “a state guarantee of 500 million euros, which will allow the French Development Agency to grant a loan of the same amount”.
“The State does not take emergency measures”
These announcements, however, are insufficient for many elected officials in New Caledonia, after several months of delays related to the absence of a full-fledged government. “The State does not take emergency measures”estimated the (renaissance) deputy Nicolas Metzdorf.
“The country is burning and the State looks the other way”added in a statement the joint Caledonia party (center right), for whom the 500 million euros “It will only be used to indebt New Caledonia in 2025 to repay the advances made by the State in 2024”. In fact, the vast majority of the 400 million in aid was paid in the form of advances or repayable loans.
Buffet visited the Ducos industrial zone on Thursday, where 200 companies were completely or partially destroyed. His arrival, the first of a full minister in five months, was an opportunity for professionals to air their grievances.
Only the concrete slab and a piece of charred wall remain from the professional hardware store Soprotec. The company caught fire on the night of May 15 to 16, the victim of an arson attack that spread to neighboring premises without the emergency services being able to intervene, leaving the neighborhood in the hands of the rioters. Its director, Nicolas Guesdon, had to lay off twelve of his twenty-four employees. He hopes to rebuild, but for that “The State needs to guarantee security and maintain a high level of police presence”he explained to the minister during his trip.
Paralysis of economic activity
“We had riots, then opportunity crime and, soon, we run the risk of having crime to survive, the social situation is very difficult. If they don’t have a guarantee, the insurance companies won’t follow us, and by extension the banks won’t either.”worries the businessman. At his side, the loyal president of the Southern province, Sonia Backès, says she fears “a second economic collapse”.
Another complaint is the slowness in insurance compensation. “Of the 1.3 billion euros of damages suffered by private companies, only 15% fell on the companies”explained the president of the local Medef, Mimsy Daly.
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Even for companies that escaped destruction, danger lurks due to the cessation of economic activity, warns the president of the Chamber of Commerce and Industry, David Guyenne. “They have no right to receive any help. However, today, the drop in turnover at Ducos is between 70% and 90%. They have no visibility”warns the businessman, a victim of abuse in May.
On Thursday, Buffet also traveled to Koné (north), invited by the independence president of the Northern province, Paul Néaoutyine. On Friday his day will be dedicated to meetings with the parliamentary groups of the Congress of New Caledonia.
