Windfall from the

French Polynesia

Windfall from the big winds of ’82-’83

The six cyclones which hit French Polynesia between De cember 1982 and April 1983 caused material losses amounting to about CFPI6 billion (about SAI2O million). But most of the destruction was wrought on pri vate homes, perhaps as many as 10,000 of them. So, whatever the personal inconvenience suf fered by their owners, the dam age was not as crippling to the economy as if important indus tries and production centres had been wiped out.

Looking back on the events of the past eight months or so, it is

now generally acknowledged

that the relief and reconstruction program, which has been carried out with great determination and skill by Vice-President Gaston Flosse and his men, has definite ly served as a stimulus to local business and trade, and has

created jobs.

Flosse very promptly con sidered that top priority should be given to the people of the disinherited Tuamotu atolls, who depend for their living on the sale of copra a source of income of which they were abruptly de

prived by the terrific damage

done by the cyclones to their coconut plantations. He therefore spent most of the CFP3 billion

scraped together by reshuffling

the 1983 Budget and creating new taxes on building materials such as timber, cement, and cor rugated iron, which were given away free to homeless Tuamotu islanders.

In addition, all men and wo men who had nothing to do after losing their palm trees and coconuts were hired at regular rates of pay and put to work

clearing the plantations and

planting coconuts, regardless of

who the owners of the land con cerned happened to be. When they have completed this task,

they will be employed, on equal

ly favorable terms, on building

concrete anti-cyclone shelters.

The French Government chipped in another CFP3 billion as an outright gift. This money is now being used to compensate about 5000 low-income families for the loss of their furniture and household goods. The special re construction agency set up by the local Government Council will also soon receive a French Gov ernment loan of CFP3.S billion at the modest interest rate of 4.5 per cent.

As for tourism, which now constitutes the territory’s main industry (PIM Feb ’B3 p 32),

none of the major hotels suffered

serious damage. Many hotel

owners and travel agents are, of course, fearful that the cyclones will have given the islands a bad name, with adverse effects on their industry for years to come.

But these fears do not seem to be shared by the big multi national hotel chains. For exam ple, both the Hyatt and Hilton corporations have recently en tered into definite commitments to build huge 250-room hotels at Borabora. Nor are they put off by the fact that the number of tour ists visiting French Polynesia has been relatively stagnant since 1975 at something under 100,000 a year. It is their ap praisal that the problem lies in the limited capacity of the local hotels. Accordingly, they plan to build some more. Of course, they also expect that Mr Flosse will take action to do away with some of the privileges enjoyed by the French airline UTA, which has so far managed to

keep severe restrictions on all

foreign charter traffic . . .

Final proof that the cyclones have not ruined the country is

provided by the 1984 Budget.

Adopted in mid-December ’B3, it

contains no special cyclone

emergency provisions. The grand total comes to CFP36 bill ion. In accordance with long established patterns, it is shared out as follows: municipalities CFP6.45 billion, public works 5.68 billion, education 4.58 bill ion, public debt 3.19 billion, health 3.19 billion, social wel fare 2.38 billion.

Also in line with a hallowed colonial tradition, the revenues are almost wholly derived from customs duties and indirect taxes. And there is no doubt that the .main reason Tahiti is attract ing increasing numbers of French settlers is the very special and modem kind of paradise they find there a fiscal paradise.

Marie-Therese and Bengt Daniels son.