18 Oct 2011

French Polynesia again warns local council pays at risk

1:05 pm on 18 October 2011

French Polynesia's president, Oscar Temaru, has told mayors from Tahiti and Moorea that public servants employed by local councils may not be paid this month.

This comes amid an impasse between his administration and the French high commissioner over the terms of a French Development Bank loan.

Mr Temaru has again warned that unless Paris unblocks the disbursement of the 22 million US dollar loan, salaries can no longer be paid.

The mayors are now due to see the high commissioner to see if they can get clarification.

Earlier this month, the dispute prompted Mr Temaru to call for an uprising, should there be no money to pay the public service.