New Caledonia's Government Toppled Over Reconstruction Disputes

The pro-independence administration led by Louis Mapou collapses following disagreements over economic recovery plans after devastating riots.

The government of New Caledonia, led by pro-independence President Louis Mapou, was overthrown on December 24 due to divisions over reconstruction funding after May's deadly riots.
The May 13 insurrection, driven by opposition to electoral reforms, resulted in 14 deaths, €2 billion in damages, and a significant economic downturn, including a 20-30% GDP drop and high unemployment.
Center-right party Calédonie Ensemble criticized Mapou's acceptance of a €1 billion loan from France, citing the attached reform conditions as a long-term burden on future generations.
The collapse has stalled key reforms needed to unlock emergency aid, leading to concerns about worsening financial instability and potential federal oversight of the territory.
A new government is expected to be elected on January 7, with non-independence leader Alcide Ponga emerging as a likely candidate for the presidency.