"And we can contrast this with some other countries that have made these changes without consultation with the public. And I think New Zealanders should appreciate the fact we have such a consultative process."
The Fijian Government is also changing its flag but there is no referendum on it.
Mr McCully said the Fijian Foreign Minister had not discussed it with him "but I'm aware of the process by which they changed their flag which involved somewhat less consultation with the public than is the case here."
He was dismissive about whether the fun at New Zealand's expense in international media had impacted on New Zealand's reputation. "It's not the biggest foreign policy problem we've got today. If it becomes a burden to me I'll let you know."
He refused to give his own view on the question of change or which flag design he liked.
"At the moment we're involved in a process in which we give the public a choice about the flag and that's much more important than my views."
He said he had seen cases in which the Australian and New Zealand flags were mixed up internationally.