The repercussions of the May 2024 riots are still evident and continue to affect a large part of New Caledonia’s economy. While some indicators are improving (mining, metallurgical production, etc.), others remain persistently weak and reflect a lack of prospects: business failures are on the rise, household consumption is falling and many sectors are in difficulty.
Beyond the heavy human and material toll of the riots, the destruction has led to a substantial increase in unemployment, at a time when the financial situation of local public institutions was already critical. The territory remains heavily dependent on aid from the French government.
In this context, the recovery in the ICA cannot be interpreted as a sign of economic recovery, but rather as a stabilisation of the economy at a particularly low level.
This quarter’s economic survey was conducted between the end of June and the end of July, at the time of the signing of the Bougival draft agreement and before the announcement of the withdrawal of one of the signatory political parties. This environment, which brought hope for the institutional future of the territory, probably contributed to the recovery of the ICA over the period.