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New Zealand freezes Cook Islands financial aid over China ties
New Zealand freezes Cook Islands financial aid over China ties

NHK

timea day ago

  • Business
  • NHK

New Zealand freezes Cook Islands financial aid over China ties

New Zealand has announced it halted millions of dollars in financial aid to the Cook Islands. The move comes amid Wellington's growing concern over the island group's deepening ties with China. In a statement on Thursday, the government said about 18 million New Zealand dollars, or about 11 million US dollars, in development funding for fiscal 2025-26 would be paused. The Cook Islands has been self-governing in free association with New Zealand, which is committed to defending it. The two nations are obliged to consult mutually on defense and security. But in February, the Cook Islands signed a strategic partnership agreement with China, which New Zealand says it was not consulted on. The Cook Islands says the agreement with China didn't contain security or defense matters. New Zealand Prime Minister Christopher Luxon told reporters on Thursday, "We were unhappy and dissatisfied with the fact that the Cook Islands' government wasn't open or transparent about its international agreements." Wellington also says it will not consider significant fresh funding until the Cook Islands takes steps to restore trust.

New Zealand freezes millions in aid to Cook Islands over China ties
New Zealand freezes millions in aid to Cook Islands over China ties

The Independent

time2 days ago

  • Business
  • The Independent

New Zealand freezes millions in aid to Cook Islands over China ties

New Zealand has frozen millions of dollars in funding to the Cook Islands, citing concerns over the "breadth and content" of agreements the smaller Pacific nation has forged with China. Officials from New Zealand's Foreign Minister's office confirmed the halt on Thursday. As the Cook Islands' primary financial backer, New Zealand will not consider any new aid until the relationship between the two nations improves, a spokesperson for Foreign Minister Winston Peters told The Associated Press. Cook Islands Prime Minister Mark Brown has not yet responded to requests for comment. The move underscores growing tensions in the Pacific, where Beijing's increasing influence has frequently caused friction between island nations and their traditional regional partners, Australia and New Zealand. However, this latest development is particularly notable given the deep constitutional ties between New Zealand and the Cook Islands. Despite being self-governing, the Cook Islands shares a military and passports with New Zealand, making the divergence in their approaches to managing relations with China a striking point of contention. News of the 18.2 million New Zealand dollar ($11 million) funding halt Thursday, which only emerged when a Cook Islands news outlet saw its brief mention in a government budget document, is likely to prove difficult for New Zealand's Prime Minister Christopher Luxon, who is in China for his first official visit and is due to meet President Xi Jinping this week. Beijing has defended its Cook Islands pacts before, saying in February that the deals were not intended to antagonize New Zealand. In a report tabled in the Cook Islands Parliament this week, the Public Accounts Committee registered 'concern' about a reduction of 10 million New Zealand dollars ($6 million) in the government's purse, the first known mention of the finance freeze. The money was earmarked for 'core sector support', which funds the Cook Islands' health, education and tourism sectors — with audits by Wellington on how it's spent. The money is part of NZ $200 million directed to the Cook Islands by New Zealand over the past three years as part of an almost 60-year-old arrangement. The links demand consultation by Cook Islands leaders with Wellington on its agreements with other parties that might affect the relationship and the deals with China were the first serious test of those rules. The Cook Islands, population 15,000, has a large and lucrative exclusive economic zone, with Brown's government exploring prospects for deep sea mining activity, and Cook Islanders can freely live and work in New Zealand. That prompted dismay in Wellington when officials learned of the raft of agreements Brown signed in February. The agreements didn't promise security cooperation between Beijing and Cook Islands, but they did pledge more funding from China for infrastructure projects and educational scholarships. Not all of the documents Brown signed were released publicly. The spokesperson for New Zealand Foreign Minister Peters said Thursday said the agreements illustrated 'a gap in understanding' between the governments 'about what our special relationship of free association requires,' which included consultation to ensure the preservation of shared interests. The 'breadth and content' of the deals and lack of consultation with Wellington about them in advance prompted a review of funding to the Cook Islands, Peters' office said. 'New Zealand has therefore paused these payments and will also not consider significant new funding until the Cook Islands Government takes concrete steps to repair the relationship and restore trust,' the spokesperson's statement said. Brown said in February that the deals did not 'replace our longstanding relationships with New Zealand, Australia and others, but rather complements them, ensuring that we have a diversified portfolio of partnerships.' News of the agreements prompted protests in Avarua led by opposition lawmakers. New Zealand's latest action was an 'entirely avoidable consequence of Cook Islands' strategic flirtations with China,' said Mihai Sora, analyst with the Australia-based thinktank Lowy Institute. 'It's a bit cute to sign up to a comprehensive strategic partnership with China in 2025 and pretend there is no strategic angle for Beijing, given all the mounting evidence of China's malign strategic intent in the Pacific,' he said.

New Zealand, the Cook Islands' Biggest Funder, Halts Money to the Pacific Nation Over Its China Ties
New Zealand, the Cook Islands' Biggest Funder, Halts Money to the Pacific Nation Over Its China Ties

Al Arabiya

time2 days ago

  • Business
  • Al Arabiya

New Zealand, the Cook Islands' Biggest Funder, Halts Money to the Pacific Nation Over Its China Ties

New Zealand has halted millions of dollars in funding to the Cook Islands over the breadth and content of agreements the smaller Pacific nation made with Chinese officials, officials from the New Zealand Foreign Minister's office said Thursday. New Zealand, which is the smaller Pacific nation's biggest funder, won't consider any new money for the Cook Islands until the relationship improves, a spokesperson for Foreign Minister Winston Peters told The Associated Press. Cook Islands Prime Minister Mark Brown didn't immediately respond to a request for comment. Relations between other Pacific islands and their larger regional backers, Australia and New Zealand, have stumbled over ties with China in recent years as Beijing has vied to increase its Pacific sway. But the latest move by New Zealand's government was striking because it reflected growing friction between two countries with strong constitutional ties – Cook Islands is self-governing but shares a military and passports with New Zealand – over the two countries' diverging approaches to managing relations with Beijing. News of the $18.2 million New Zealand dollar ($11 million) funding halt Thursday, which only emerged when a Cook Islands news outlet saw its brief mention in a government budget document, is likely to prove difficult for New Zealand's Prime Minister Christopher Luxon, who is in China for his first official visit and is due to meet President Xi Jinping this week. Beijing has defended its Cook Islands pacts before, saying in February that the deals were not intended to antagonize New Zealand. In a report tabled in the Cook Islands Parliament this week, the Public Accounts Committee registered concern about a reduction of $10 million New Zealand dollars ($6 million) in the government's purse, the first known mention of the finance freeze. The money was earmarked for core sector support, which funds the Cook Islands' health, education and tourism sectors – with audits by Wellington on how it's spent. The money is part of $200 million directed to the Cook Islands by New Zealand over the past three years as part of an almost 60-year-old arrangement. The links demand consultation by Cook Islands leaders with Wellington on its agreements with other parties that might affect the relationship, and the deals with China were the first serious test of those rules. The Cook Islands' population of 15,000 has a large and lucrative exclusive economic zone, with Brown's government exploring prospects for deep sea mining activity, and Cook Islanders can freely live and work in New Zealand. That prompted dismay in Wellington when officials learned of the raft of agreements Brown signed in February. The agreements didn't promise security cooperation between Beijing and Cook Islands, but they did pledge more funding from China for infrastructure projects and educational scholarships. Not all of the documents Brown signed were released publicly. The spokesperson for New Zealand Foreign Minister Peters said Thursday the agreements illustrated 'a gap in understanding between the governments about what our special relationship of free association requires,' which included consultation to ensure the preservation of shared interests. 'The breadth and content of the deals and lack of consultation with Wellington about them in advance prompted a review of funding to the Cook Islands,' Peters' office said. 'New Zealand has therefore paused these payments and will also not consider significant new funding until the Cook Islands Government takes concrete steps to repair the relationship and restore trust,' the spokesperson's statement said. Brown said in February that the deals 'did not replace our longstanding relationships with New Zealand, Australia and others, but rather complements them, ensuring that we have a diversified portfolio of partnerships.' News of the agreements prompted protests in Avarua led by opposition lawmakers. New Zealand's latest action was 'an entirely avoidable consequence of Cook Islands' strategic flirtations with China,' said Mihai Sora, analyst with the Australia-based think tank Lowy Institute. 'It's a bit cute to sign up to a comprehensive strategic partnership with China in 2025 and pretend there is no strategic angle for Beijing given all the mounting evidence of China's malign strategic intent in the Pacific,' he said.

New Zealand, the Cook Islands' biggest funder, halts money to the Pacific nation over its China ties
New Zealand, the Cook Islands' biggest funder, halts money to the Pacific nation over its China ties

Yahoo

time2 days ago

  • Business
  • Yahoo

New Zealand, the Cook Islands' biggest funder, halts money to the Pacific nation over its China ties

WELLINGTON, New Zealand (AP) — New Zealand has halted millions of dollars in funding to the Cook Islands over the 'breadth and content' of agreements the smaller Pacific nation made with China, officials from the New Zealand Foreign Minister's office said Thursday. New Zealand, which is the smaller Pacific nation's biggest funder, won't consider any new money for the Cook Islands until the relationship improves, a spokesperson for Foreign Minister Winston Peters told The Associated Press. Cook Islands Prime Minister Mark Brown didn't immediately respond to a request for comment. Relations between other Pacific islands and their larger regional backers Australia and New Zealand have stumbled over ties with China in recent years as Beijing has vied to increase its Pacific sway. But the latest move by New Zealand's government was striking because it reflected growing friction between two countries with strong constitutional ties — Cook Islands is self-governing but shares a military and passports with New Zealand — over their diverging approaches to managing relations with Beijing. Freeze emerges as NZ's leader visits China News of the 18.2 million New Zealand dollar ($11 million) funding halt Thursday only emerged when a Cook Islands news outlet saw its brief mention in a government budget document. It's likely to prove difficult for New Zealand's Prime Minister Christopher Luxon, who is in China for his first official visit and due to meet President Xi Jinping this week. Beijing has defended its Cook Islands strategic partnership before, saying in February that the deals were not intended to antagonize New Zealand. In a report tabled in the Cook Islands Parliament this week, the Public Accounts Committee registered 'concern' about a reduction of 10 million New Zealand dollars ($6 million) in the government's purse, the first known mention of the finance freeze. The money was earmarked for 'core sector support', which funds the Cook Islands' health, education and tourism sectors, with audits by Wellington on how it's spent. The money is part of NZ $200 million directed to the Cook Islands by New Zealand over the past three years as part of an almost 60-year-old free association compact. The links demand consultation by Cook Islands leaders with Wellington on agreements with other countries that might affect New Zealand. The pacts with China were the first serious test of those rules. Deals prompted dismay in Wellington The Cook Islands, population 15,000, has a large and lucrative exclusive economic zone, with Brown's government exploring prospects for deep sea mining activity. Cook Islanders can freely live and work in New Zealand, which prompted alarm about national security in Wellington when officials learned of the raft of agreements Brown signed in February. The agreements didn't promise security cooperation between Beijing and Cook Islands, but they did pledge more funding from China for infrastructure projects and educational scholarships. Not all of the documents Brown signed were released publicly. The spokesperson for New Zealand Foreign Minister Peters said Thursday said the agreements illustrated 'a gap in understanding' between the governments 'about what our special relationship of free association requires,' which included consultation to ensure the preservation of shared interests. The 'breadth and content' of the deals and lack of consultation with Wellington about them prompted a review of funding to the Cook Islands, Peters' office said. 'New Zealand has therefore paused these payments and will also not consider significant new funding until the Cook Islands Government takes concrete steps to repair the relationship and restore trust,' the spokesperson's statement said. Cook Islands PM rejected concerns Brown said in February that the deals did not 'replace our longstanding relationships with New Zealand, Australia and others, but rather complements them, ensuring that we have a diversified portfolio of partnerships.' News of the agreements prompted protests in Avarua led by opposition lawmakers. New Zealand's latest action was an 'entirely avoidable consequence of Cook Islands' strategic flirtations with China,' said Mihai Sora, analyst with the Australia-based thinktank Lowy Institute. 'It's a bit cute to sign up to a comprehensive strategic partnership with China in 2025 and pretend there is no strategic angle for Beijing, given all the mounting evidence of China's malign strategic intent in the Pacific,' he said.

New Zealand halts millions of dollars in aid to Cook Islands over deals struck with China
New Zealand halts millions of dollars in aid to Cook Islands over deals struck with China

The Guardian

time2 days ago

  • Business
  • The Guardian

New Zealand halts millions of dollars in aid to Cook Islands over deals struck with China

New Zealand has halted millions of dollars in funding to the Cook Islands over the 'breadth and content' of agreements the smaller Pacific nation made with China, officials from the New Zealand foreign minister's office has said. New Zealand, which is the Cook Islands biggest funder, won't consider any new money for the nation until the relationship improves, a spokesperson for foreign minister Winston Peters told the Associated Press on Thursday. Cook Islands prime minister Mark Brown didn't immediately respond to a request for comment. Relations between other Pacific islands and their larger regional backers Australia and New Zealand have stumbled over ties with China in recent years as Beijing has vied to increase its Pacific sway. But the latest move by New Zealand's government was striking because it reflected growing friction between two countries with strong constitutional ties – Cook Islands is self-governing but shares a military and passports with New Zealand – over two countries' diverging approaches to managing relations with Beijing. News of the NZ$18.2m ($11m) funding halt on Thursday, which emerged only when a Cook Islands news outlet saw its brief mention in a government budget document, is likely to prove difficult for New Zealand's prime minister, Christopher Luxon, who is in China for his first official visit and is due to meet President Xi Jinping this week. Beijing has defended its Cook Islands pacts before, saying in February that the deals were not intended to antagonise New Zealand. In a report tabled in the Cook Islands parliament this week, the public accounts committee registered 'concern' about a reduction of NZ$10m ($6m) in the government's purse, the first known mention of the finance freeze. The money was earmarked for 'core sector support', which funds the Cook Islands' health, education and tourism sectors – with audits by Wellington on how it's spent. The money is part of NZ$200m directed to the Cook Islands by New Zealand over the past three years as part of an almost 60-year-old arrangement. The links demand consultation by Cook Islands leaders with Wellington on its agreements with other parties that might affect the relationship and the deals with China were the first serious test of those rules. The Cook Islands, population 15,000, has a large and lucrative exclusive economic zone, with Brown's government exploring prospects for deep sea mining activity, and Cook Islanders can freely live and work in New Zealand. That prompted dismay in Wellington when officials learned of the raft of agreements Brown signed in February. The agreements didn't promise security cooperation between Beijing and Cook Islands, but they did pledge more funding from China for infrastructure projects and educational scholarships. Not all of the documents Brown signed were released publicly. The spokesperson for New Zealand foreign minister Peters said on Thursday said the agreements illustrated 'a gap in understanding' between the governments 'about what our special relationship of free association requires', which included consultation to ensure the preservation of shared interests. The 'breadth and content' of the deals and lack of consultation with Wellington about them in advance prompted a review of funding to the Cook Islands, Peters' office said. 'New Zealand has therefore paused these payments and will also not consider significant new funding until the Cook Islands government takes concrete steps to repair the relationship and restore trust,' the spokesperson's statement said. Brown said in February that the deals did not 'replace our longstanding relationships with New Zealand, Australia and others, but rather complements them, ensuring that we have a diversified portfolio of partnerships.' News of the agreements prompted protests in Avarua led by opposition lawmakers. New Zealand's latest action was an 'entirely avoidable consequence of Cook Islands' strategic flirtations with China,' said Mihai Sora, analyst with the Australia-based thinktank Lowy Institute. 'It's a bit cute to sign up to a comprehensive strategic partnership with China in 2025 and pretend there is no strategic angle for Beijing, given all the mounting evidence of China's malign strategic intent in the Pacific,' he said.

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