New Caledonia has signed the third tranche of a French state-guaranteed loan as part of a broader economic and social restructuring package aimed at restoring public finances and supporting essential services.
The agreement was signed on May 29 by French High Commissioner Jacques Billant and New Caledonia government member in charge of the economy and budget Christopher Gygès, in the presence of Thomas de Gubernatis, director of the French Development Agency.
The loan forms part of an economic and social restructuring pact launched in February 2026 by the French government. The program provides exceptional state support of nearly 240 billion CFP francs ($2 billion euros) over five years to help revive the economy, improve opportunities for young people and restore public finances in exchange for structural reforms.
Under the arrangement, the French state is guaranteeing a loan of more than 44 billion CFP francs (370 million euros) provided by the French Development Agency to New Caledonia.
The funds will support the territory's social security system, including health insurance and pension payments, as well as the electricity sector and public services delivered by provincial and municipal authorities.
Gygès said the financing would ensure pension payments continue through the end of the year.
"Without this sum, thousands of pensioners would not have been paid," he said, adding that New Caledonia is due to receive two installments of 10.7 billion CFP francs in the coming months.
According to Gygès, while most of the 44 billion CFP francs will be directed toward pensions, the compulsory health insurance scheme (RUAMM) and the electricity system, part of the funding will also support local governments and investment projects intended to contribute to the territory's economic recovery.
