New Caledonia's legislators have endorsed the French Pacific territory's 2026 budget for a total of US$1.5 billion. Photo: AFP / Delphine Mayeur
New Caledonia's legislators have endorsed the French Pacific territory's 2026 budget for a total of US$1.5 billion.
In addition to the main budget, two other packages were approved by the Congress on Thursday: one (US$1.5b) being for local collectivities, the other (US$687 million) for New Caledonia's public service entities.
Most budgets benefited from recent additions in terms of French financial support, as a result of recent talks held in Paris in January 2026.
This includes special allocations to salvage the ailing retirement scheme and the electrical production service, as well as the payment of unemployment benefits, for a total of some US$157m.
Some parts of the new appropriation bill also allows significant amounts of huge loans (of over €2 billion) contracted after the Covid crisis and the destructive May 2024 civil unrest that killed 14, causing over €2 billion in material damage not to be reimbursed during the next two years, with a prospect to transform the loan into a non-refundable grant.
Those budgets were endorsed by 33 Mps from New Caledonia's political groups represented at the Congress, but 10 from the pro-independence Union Calédonienne-FLNKS group abstained.
Economy and Finance minister Christopher Gygès said this budget was meant to be "rigorous" but also "responsible".
"Debates were respectful, which at least shows that we are able to move forward together in this territory".
As part of the reforms package, and to avoid bankruptcy, domestic air carrier Air Calédonie (AirCal) is preparing to move all of its operations from its current base of Magenta airport to Nouméa's international La Tontouta airport on 2 March 2026.
