Tahiti signs up to French loan over Covid-19 crisis

1:48 pm on 6 August 2020

French Polynesia has signed up to a $US285 million loan from France because of the Covid-19 pandemic.

French Polynesia President Edouard Fritch updating response to Covid-19 outbreak

President Edouard Fritch signs up to Covid-19 support loan Photo: Supplied

The deal was signed by the president Edouard Fritch at the French High Commission in Papeete after earlier plans to do so in Paris were abandoned.

The loan, which is for a term of 25 years at an interest rate of under 1.4 percent, is tied to French Polynesia undertaking public finance reforms.

The funds will prevent the collapse of the are in the social security agency CPS which faced difficulties even before the Covid-19 outbreak.

The territory was hit by the shutdown of international tourism in March but has seen renewed activity after the lifting of quarantine requirements last month.

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