Martinique Assembly approves emergency fiscal plan to curb record debt
The Martinique Assembly endorsed a two-year recovery plan that mixes spending cuts, asset sales and new taxes to address its soaring debt burden.
On 25 September, the Assemblée de Martinique voted to adopt a fiscal recovery program spanning 2027 and 2028, seeking to reverse a record-high debt situation. Serge Letchimy, who leads the executive council of the Collectivité territoriale de Martinique, outlined a package that combines budgetary cuts, the gradual retirement of staff without replacement, and the creation of a new employer tax aimed at mobility funding.
To boost revenues, the plan proposes selling real-estate assets for several million euros and divesting holdings in the investment company Sagipar. The regional chamber of accounts had highlighted a structural financial imbalance, noting a sharp rise in debt since 2021. Opposition member Jean-Philippe Nilor condemned the measures as austerity in disguise and called for quarterly monitoring and a comprehensive review of public policies.
Why it matters
Martinique's fiscal plan seeks to stabilize public finances and prevent further debt escalation that could affect public services.
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