New Zealand extends pause on $29.8m Cook Islands funding after China deal

NZ Foreign Minister Winston Peters announced the pause after Cook Islands Prime Minister Mark Brown signed a partnership with China. Photo / RNZ

By RNZ

New Zealand has extended its pause on direct payments to the Cook Islands Government, after it signed partnership agreements with China earlier this year.

A Ministry of Foreign Affairs spokesperson said the total amount of paused funding was $29.8 million and covered two financial years.

“We took this step reluctantly and after careful consideration.

“Direct funding to another government relies on a high degree of trust. The Cook Islands Government breached New Zealand’s trust through a series of actions that are well known.”

The spokesperson said New Zealand’s concerns about the Cook Islands’ actions “need to be addressed and trust restored, before we can release this funding”.

“Significant development assistance to the Cook Islands continues, including in areas such as health, education, governance, security and humanitarian support. This is being delivered through New Zealand agencies and regional programmes.

“New Zealand remains deeply committed to the Cook Islands and its people. We share a unique constitutional relationship and the people of the Cook Islands are New Zealand citizens.”

Foreign Affairs Minister Winston Peters informed the Cook Islands Government of the initial decision to pause funding in early June.

The Cook Islands operates in free association with New Zealand. It governs its own affairs, but New Zealand provides assistance with foreign affairs (upon request), disaster relief, and defence.

The 2001 Joint Centenary Declaration signed between the two nations requires them to consult each other on defence and security, which Peters said had not been lived up to.

In February, Cook Islands Prime Minister Mark Brown signed a “comprehensive strategic partnership” with China.

New Zealand reviewed its development programme in the Cook Islands as a result, and in early June informed Brown the funding would be paused.

- RNZ