The situation in French New Caledonia remains febrile

Significance

However, the situation in the Indo-Pacific island remains febrile, with the local economy experiencing a major downturn and Azerbaijan continuing its efforts to fuel anti-French sentiment. French President Emmanuel Macron plans to hold high-level talks with all political leaders in New Caledonia in mid-September.

Impacts

• The unrest in New Caledonia has not appeared to increase anti-French sentiment in other overseas territories thus far.
• Should the far right win the next presidential election, it would adopt a hard-line stance towards pro-independence supporters.
• Even if there is a political agreement in New Caledonia, social unrest could persist due to the deteriorating economic situation.