After 10 days of intense negotiations, capped by a final overnight session, France has reached a landmark agreement with New Caledonia aimed at expanding the South Pacific territory’s autonomy. The deal, while falling short of full independence, marks a significant shift in the decades-long struggle by Indigenous Kanaks for greater self-determination.

President Emmanuel Macron described the accord as a “historic” breakthrough. If ratified by New Caledonia’s institutions, the agreement would establish a new political status — a state of Caledonia within the French Republic — formally inscribed in the French constitution. It would also introduce a distinct Caledonian nationality, to exist alongside French citizenship.

The breakthrough follows a year of tension sparked by controversial proposals to amend New Caledonia’s electoral rolls — changes that pro-independence groups argued would dilute Indigenous Kanak representation. The unrest led to deadly riots, underscoring the fragile nature of relations between Paris and the territory.

New Caledonia has already held three referenda on independence, each resulting in a decision to remain part of France, though voter turnout and political boycotts have complicated the results.

As part of the new agreement, a special congress will soon be convened to determine the next steps. These may include expanded powers for New Caledonia in areas such as justice, security, and international relations. The accord also opens the door for changes to national symbols — including the possibility of a new flag, anthem, and even a different name for the territory.

Economic reform remains a key pillar of the deal. Negotiators emphasized the urgent need to rehabilitate New Caledonia’s debt-burdened economy, which has long depended on nickel mining. Diversifying its industries and reducing reliance on the French mainland will be essential for long-term stability.

Colonized by France in the 1850s, New Caledonia became an overseas territory after World War II, and Kanaks were granted French citizenship in 1957. This latest accord signals a potential turning point in redefining that colonial legacy, with a model of shared sovereignty now on the horizon.