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

New Zealand Extends Pause on Cook Islands Payments

New Zealand has prolonged its suspension of direct payments to the Cook Islands Government after the latter entered partnership agreements with China earlier this year. The total paused funding amounts to NZ$29.8 million, spanning two financial years.

Official Statement on Funding Suspension

A Ministry of Foreign Affairs spokesperson explained the decision was made reluctantly and only after thorough 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.”

Concerns raised by New Zealand must be resolved and trust restored before the withheld funds can be released.

Continued Support Despite Funding Pause

Despite the halt in direct payments, New Zealand continues to provide substantial development assistance to the Cook Islands. Support focuses on health, education, governance, security, and humanitarian aid, delivered via New Zealand 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.”

Background on Funding Decision

Foreign Affairs Minister Winston Peters notified the Cook Islands Government of the initial decision to pause funding in early June.

Summary

New Zealand’s pause on direct payments to the Cook Islands reflects concerns over breached trust following the latter's engagement with China, though development aid continues through other channels.

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NZ Herald NZ Herald — 2025-11-09