New Zealand has extended its suspension of direct payments to the Cook Islands Government following the Cook Islands Prime Minister Mark Brown's partnership agreements with China earlier this year.
A spokesperson from the Ministry of Foreign Affairs stated the total amount of paused funding is NZ$29.8 million, spanning 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.”
New Zealand emphasizes that the concerns over the Cook Islands’ actions must be resolved and trust rebuilt before the funding can be released again.
“New Zealand’s concerns about the Cook Islands’ actions need to be addressed and trust restored, before we can release this funding.”
Despite the pause in direct payments, New Zealand continues significant development assistance to the Cook Islands in various sectors including health, education, governance, security, and humanitarian aid through agencies and regional programs.
“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.
Summary: New Zealand paused NZ$29.8 million in direct funding to the Cook Islands due to breached trust after its partnership with China, continuing indirect aid while seeking resolution and restored cooperation.