Get 40% Off
🚨 Volatile Markets? Find Hidden Gems for Serious Outperformance
Find Stocks Now

UPDATE 4-New Caledonia rejects full independence from France again

Published 04/10/2020, 09:53 pm
Updated 04/10/2020, 11:42 pm

(Adds remarks by France's president)

By Mathieu Rosemain

PARIS, Oct 4 (Reuters) - The South Pacific archipelago of New Caledonia voted against independence from France on Sunday for the second time in as many years, a provisional final count showed.

A surprise "yes" vote would have deprived Paris of a foothold in a region where China is expanding its influence, and dented the pride of a colonial power whose reach once spanned large parts of Africa, Southeast Asia, the Caribbean and the Pacific. "no" vote won 53.26% of votes cast votes, a narrower margin of victory than in the 2018 poll.

The result will bring relief to President Emmanuel Macron's government, whose attention had been focused on the coronavirus pandemic in the run-up to the referendum.

"Voters have had their say. They confirmed their wish to keep New Caledonia a part of France. As head of state, I salute this show of confidence in the Republic with a profound feeling of gratitude," Macron said in a televised statement.

New Caledonia became a French colony in 1853. Tensions have long run deep between pro-independence indigenous Kanaks and descendants of colonial settlers who remain loyal to Paris.

Sunday's referendum was the second of up to three permitted under the terms of the 1998 Noumea Accord, an agreement enshrined in France's constitution and which set out a 20-year path towards decolonisation.

France stood ready to organise a further vote within two years if that was the wish of New Caledonians, at which point both sides would have to accept the result, Macron said.

3rd party Ad. Not an offer or recommendation by Investing.com. See disclosure here or remove ads .

"We have two years to look to the future," the president continued.

The island chain already enjoys a large degree of autonomy but depends heavily on France for matters such as defence and education.

Turnout was high at 85.6% of eligible voters - after a stronger-than-expected independence vote in the 2018 referendum.

New Caledonia lies some 1,200 km (750 miles) east of Australia and 20,000 km (12,500 miles) from Paris.

Under French colonial rule the Kanaks were confined to reserves and excluded from much of the island's economy. The first revolt erupted in 1878, not long after the discovery of large nickel deposits that are today exploited by French miner Eramet 's ERMT.PA subsidiary SLN.

Today, its economy is underpinned by annual French subsidies of some 1.3 billion euros ($1.5 billion) and nickel deposits that are estimated to represent 25% of the world's total, and tourism.

The territory has, however, largely cut itself off from the outside world to shield itself from the coronavirus. It has registered only 27 cases of COVID-19.

For a third referendum to take place, a third of the local assembly in New Caledonia must vote in favour of one.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.