16 Dec 2011

French Polynesia yet to respond to French loan offer

11:56 am on 16 December 2011

The French Polynesian government is yet to reply to a French offer for a 65 million US dollar loan over the next two years.

The offer was made on condition that the government in Papeete implements a plan aimed at reining in its expenditure.

It also entails a recommendation that a property in Paris be put on the market - a move apparently resisted by the government in Tahiti.

According to the Nouvelles de Tahiti, the French offer stands until the end of the year but no reply has been given to date.

The French high commissioner in Tahiti, Richard Didier, says talks are ongoing, adding that French Polynesia is in a financial crisis.