According to a report, presented on Monday, May 30, before the territory’s congress, the public and social accounts of the archipelago are close to bankruptcy.
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The report of the Territorial Chamber of Accounts (CTC) of New Caledonia, presented Monday, May 30, before the Congress of the Territory, if it does not constitute a revelation, nevertheless gives the measure of ” The crisis situation in which Caledonian public finances are located and [of] the extent of the efforts to be made to overcome it, “under the terms of the rapporteurs. CTC control, carried out at the request of the High Commissioner of the Republic in New Caledonia, relates to the 2017 and following financial years. Over this period, three presidents of the government followed one another: the “loyalists” – of different sensitivities – Philippe Germain and Thierry Santa until February 2021 and, since July 2021, the independence Louis Mapou.
What emerges from the report is that the deficit in public accounts, both those of the general budget and social regimes, is “structural”. Responsibility cannot be attributed to the current government alone. No more than in the health crisis, which has certainly led to a sharp increase in intervention spending, but whose funding was largely supported by the State, because, recalls the CTC, “to finance the expenses concerned, New Caledonia had no reservation “:” At the end of 2019, just before the health crisis begins, its working fund was 353 million CFP francs [3 million euros]. “
“Close to payment breaking”
Of the 48.1 billion CFP francs dedicated to health and social expenses, in 2020 and 2021, the State intervened for 43.6 billion CFP francs, the rest having been provided by zero -rate loans, subscribed to public establishments in New Caledonia. This state contribution was divided between 15 billion CFP francs from subsidies to New Caledonia and a loan from the French Development Agency (AFD), guaranteed by the State, of 28.6 billion francs CFP.
The agreement, signed on May 13, 2020 -under the government of Mr. Santa -, for this loan granted by AFD, provided for commitments “in New Caledonia in terms of reforms to be carried out to find financial stability “. These commitments provided for the creation of 11.2 billion CFP francs in new tax revenue from 2020 and the implementation of economy and debt clearance measures for 15.8 billion CFP francs. “At the end of 2021, it remains to be carried out 15.12 billion CFP francs on economy measures and no tax measure allowing additional products for health and maternity insurance plans is effective”, notes the CTC.
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