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 to mend its relationship with the Cook Islands, New Zealand has halted two years’ worth of aid—totaling about $30 million. This move highlights a rapid deterioration in the political ties between the two neighbors in the Pacific.

Background of Aid Suspension

In June, Foreign Minister Winston Peters stopped an $18.2 million funding tranche because the Cook Islands signed several controversial agreements with China without consulting New Zealand, which is required due to their realm country relationship.

Official Confirmation

Under the Official Information Act, 1News obtained a letter dated October 13 from Peters to Cook Islands Prime Minister Mark Brown. The letter confirms the continued suspension of the $18.2 million aid and an additional payment expected around the same time, bringing the total withheld aid to $29.8 million.

Breakdown in Communication

"The gravity of the Cook Islands' breach of trust" and an ongoing disagreement about the meaning of "free association with New Zealand" were cited by Peters, indicating a significant breakdown in communication between the two countries.

Source: 1News

Author's summary

The suspension of aid underscores serious diplomatic tensions between New Zealand and the Cook Islands due to unilateral actions by the latter, straining their long-standing political ties.

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1News 1News — 2025-11-09