93

The economy of the French Polynesia is going through a decade (1995-2005). of transition from an economy of « atomic » and administrative rent to an economy based on the export of tourist services and products of the sea (black pearls and tuna fish). For that purpose a ten-year program was elaborated by the State and the Territory, spelled out in the « law of orientation for the development of the French Polynesia ». A privileged tax exemption status (Pons-Paul law, Flosse law) favored massive investments from metropolitan France, which caused a fast growth gross domestic product and employment in spite of the stagnation of metropolitan transfers since 1995. This transition is therefore well engaged, because the Territory’s economic autonomy strongly progressed since 1995, thanks to the fast development of black pearl and fish exports, and of the cruising industry. The fast growth in job creation allowed social peace and political stability, which contributed to strengthen investors’ confidence.Dependence on metropolitan transfers remains nevertheless high, and will decrease significantly only if the tourism industry takes another dimension, as it has been the case for the Hawaiian Islands or Guam, two other island economies which succeeded in making the successful transition from the military rent to a post-industrial service economy based on tourism.