New Zealand suspends nearly $30m in aid to Cook Islands

New Zealand Suspends Nearly $30 Million in Aid to Cook Islands

After months of unsuccessful talks, New Zealand has halted two years’ worth of aid payments—totaling about $30 million—to the Cook Islands. This move reflects a swift decline in the political relationship between the neighbouring countries in the Pacific.

In June, Foreign Minister Winston Peters stopped an $18.2 million funding installment after the Cook Islands entered several controversial agreements with China without consulting New Zealand, which it is required to do as a realm country.

“The gravity of the Cook Islands' breach of trust” and what appeared to be a continuing disagreement about the meaning of “free association with New Zealand.”

According to a letter dated October 13 from Peters to Cook Islands Prime Minister Mark Brown, obtained under the Official Information Act by 1News, the $18.2 million remains paused along with an additional payment due around this time, bringing the total suspended aid to $29.8 million.

The letter also highlighted a serious communication breakdown between the governments.

“Months of talk to repair New Zealand’s relationship with its neighbour in the Pacific has failed.”

Summary: New Zealand has suspended nearly $30 million in aid amid escalating tensions with the Cook Islands over unconsulted deals with China and a breakdown in trust.

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1News 1News — 2025-11-09

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