Haiti is one of the poorest nations in the world. Did France have anything to do with it?

A coalition of civil society groups is urging France to repay billions of dollars to Haiti, covering a debt imposed on formerly enslaved people in exchange for recognising the island’s independence. Haiti, the first Caribbean state to achieve independence in 1804 after an enslaved revolt, faced harsh reparations from France, a burden that persisted until 1947, contributing to the country’s ongoing challenges.

In Geneva for a UN Permanent Forum on People of African Descent (PFPAD), around 20 non-governmental organisations are advocating for an independent commission to oversee the repayment of this debt, which they label as a ransom, reported Reuters. They propose that the funds be allocated to public projects in Haiti, where a transition council seeks to restore stability amid recent violence.

How much does France owe Haiti?

While France has previously acknowledged a “moral debt” to Haiti, the exact amount owed remains disputed. While some historians estimate Haiti’s loss at $21 billion, supporters of the proposal argue for a much larger sum, factoring in 200 years of interest enjoyed by France.

Jemima Pierre, a professor at the University of British Columbia specialising in global race, suggests the owed amount could be as high as $150 billion to $200 billion or more. The coalition hopes their recommendation, along with others, will be included in the UN forum’s conclusions expected on Friday. Last year, the PFPAD proposed forming a tribunal to address reparations for slavery.

What is the Haiti Independence Debt?

The Haiti Independence Debt stems from an 1825 agreement between Haiti and France, where France demanded an indemnity of 150 million francs from Haiti. This indemnity, totaling $21 billion in today’s value, was in exchange for diplomatic recognition and involved claims over property lost during the Haitian Revolution, including Haitian slaves. The initial annual payment alone exceeded six times Haiti’s annual revenue.

Although the payment was later reduced to 90 million francs in 1838, equivalent to $33,875,264,271 in 2023, Haiti still paid approximately 112 million francs in total over 122 years. These payments significantly hindered Haitian economic development, as they constituted a substantial portion of Haitian GDP, limiting investment in infrastructure and public services.

France’s demand for payments, delivered via French warships in 1825, forced Haiti to take large loans from the French bank Crédit Industriel et Commercial, benefiting the bank’s shareholders. While France received its last indemnity payment in 1888, the United States funded the acquisition of Haiti’s treasury in 1911 to receive interest payments related to the indemnity. The remaining debt to France was later transferred to American investors in 1922, with Haiti finally paying off all associated interest to the National City Bank of New York (now Citibank) in 1947.

In 2016, the Parliament of France repealed the 1825 ordinance of Charles X, but France has not offered any reparations. Some historians and activists denounce these debts as contributing to Haiti’s present-day poverty and classify them as odious debt.

How France ‘robbed’ Haiti of its future: A timeline

• 1791: The world’s largest and most successful slave revolt begins in Saint-Domingue (now Haiti), inspired by the French and American revolutions.

• 1804: Haiti declares independence from France, becoming the first black-led independent nation. It bans slavery permanently.

• 1825: France demands 150 million francs from Haiti as reparations for lost property, including slaves, under the threat of military action. Haiti agrees under duress, taking loans from a French bank to pay off the debt.

• 1862: The United States officially recognises Haiti, amid the abolition of slavery.

• 1911: The US funds the acquisition of Haiti’s treasury to receive interest payments related to the indemnity owed to France.

• 1934: The US officially withdraws from Haiti but continues to control its public finances until 1947, diverting a significant portion of Haiti’s national income to service debt repayments to the US and France.

• 1947: Haiti finally pays off all associated interest to the National City Bank of New York (now Citibank), completing the repayment of the indemnity to France after 122 years.

• 2010: Haiti is devastated by a catastrophic earthquake, prompting calls for reparations from France. French economist Thomas Piketty estimates France owes Haiti at least $28 billion.

• 2021: Thousands of refugees from Haiti seek asylum at the US-Mexico border, fleeing political instability, economic hardship, and natural disasters. The Biden administration faces criticism for deporting Haitian refugees back to their homeland.

Monique Clesca, a Haitian civil society activist, spoke to Reuters emphasising the need for France to acknowledge this issue and for progress to be made.

However, the French foreign ministry has not yet responded to these calls.

With inputs from agencies