'Breach of trust': NZ extends pause on Cook Islands payments

New Zealand Extends Pause on Cook Islands Payments

New Zealand has prolonged the suspension of direct payments to the Cook Islands government due to its recent partnerships with China. The total amount of suspended funding is NZ$29.8 million, spanning two financial years.

Reason for the Funding Pause

A spokesperson from the Ministry of Foreign Affairs explained that the decision was taken reluctantly and after thorough consideration. Direct funding depends heavily on trust, which New Zealand believes was breached by the Cook Islands government through several well-known actions.

“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.”

New Zealand insists these concerns must be resolved and trust restored before the release of any further funds.

Ongoing Support Despite Funding Suspension

Despite the pause, New Zealand continues substantial development assistance to the Cook Islands in key sectors including health, education, governance, security, and humanitarian aid. These efforts are coordinated through New Zealand agencies and regional programmes.

“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.”

Foreign Affairs Minister Winston Peters notified the Cook Islands government about the funding suspension in early June.

Relationship Between New Zealand and Cook Islands

New Zealand reiterated its deep commitment to the Cook Islands and its people, highlighting their unique constitutional relationship and the fact that Cook Islanders hold New Zealand citizenship.

“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.”

Summary

The Cook Islands' partnership with China prompted New Zealand to extend a pause on nearly NZ$30 million in funding, emphasizing the need to restore trust before resuming payments, while continuing support in various sectors through other channels.

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NZ Herald NZ Herald — 2025-11-09

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