New Caledonia is a special collectivity of France and is largely autonomous. Although it is not part of the territory of the European Union (EU), it is associated with it as it is an EU Overseas Country and Territory (OCT) attached to France. New Caledonia is made up of many Pacific islands, including Grand Terre, the Isle of Pines, the Belep Islands and the four Loyalty Islands. The capital city of New Caledonia is Nouméa. New Caledonia has an exceptionally rich natural heritage, and vast nickel resources in particular. A policy is also being carried out to diversify its economy in order to foster innovation, sustainable agriculture, renewable energy and the creation of local jobs. The 2021 Decision on the Overseas Association establishes the 2021-2027 funding programme for the partnership between the EU and the Pacific OCTs, including New Caledonia. Funding was previously provided through the European Development Fund, and OCTs in the Pacific are also eligible for other EU funding programmes.