Latest news with #developmentassistance

RNZ News
9 hours ago
- Business
- RNZ News
Mark Brown slams New Zealand for its 'patronising approach' over China deal
Cook Islands Prime Minister Mark Brown Photo: Tiana Haxton Pausing nearly $20 million in development assistance is "patronising" and "inconsistent with modern partnership", Prime Minister Mark Brown has told the Cook Islands parliament. New Zealand Foreign Minister Winston Peters has paused $18.2 million in development assistance to the Cook Islands due to a lack of consultation regarding a partnership agreement and other deals signed with Beijing earlier this year. The pause includes $10 million in core sector support, which represents four percent of the country's budget. Brown said on Thursday or Wednesday local time the money would have been used for health, education and tourism marketing. "The relationship between the Cook Islands and New Zealand is defined by partnership, not paternalism. Decisions to unilaterally pause core sector support reflect a patronising approach, inconsistent with modern partnership," Brown said in his parliament on Friday (Thursday, Cook Islands time). The 2001 Joint Centenary Declaration signed between the two nations requires them to consult each other on defence and security, which Peters said had not been lived up to. But Brown said the declaration is "explicitly clear" that the Cook Islands can enter into international agreements in its own right. "Where we are finding our divergence of views is in the provision relating to the consultation obligations and rights of both parties to the declaration. "We are committed to addressing this urgently. That is why we agreed to New Zealand's proposal to establish a formal dialogue mechanism to discuss the agreements and their implementation." Brown said there had been two meetings so far - one in April and May. "It is disappointing that political commentary from within New Zealand has come at a time when official dialogue continues. Such commentary undermines genuine and concerted efforts by our senior officials to mend the erosion of trust and confidence that, to be clear, has been experienced on both sides," he said. RNZ Pacific reached out to Peters' office for a response on Brown's comments. A spokesperson for Peters said they would make no further comment and stand by the statements issued Thursday. In parliament, on Thursday, Brown suggested a double standard from New Zealand and that he was "not privy to or consulted on" agreements New Zealand may enter into with China. Brown said he was surprised by the timing of the announcement. "Especially Mr Speaker in light of the fact our officials have been in discussions with New Zealand officials to address the areas of concern that they have over our engagements in the agreements that we signed with China." Peters previously said the Cook Islands government was informed of the funding pause on 4 June. He also said it had nothing to do with Prime Minister Christopher Luxon being in China. Brown said he was sure Luxon would ensure good outcomes for the people of the realm of New Zealand on the back of the Cook Islands state visit and "the goodwill that we've generated with the People's Republic of China". "I have full trust that Prime Minister Luxon has entered into agreements with China that will pose no security threats to the people of the Cook Islands. "Of course, not being privy to or not being consulted on any agreements that New Zealand may enter into with China." The Cook Islands is in free association with New Zealand and governs its own affairs. But New Zealand provides assistance with foreign affairs (upon request), disaster relief, and defence. Former Cook Islands deputy prime minister and prominent lawyer Norman George said Brown "should go on his knees and beg for forgiveness because you can't rely on China". "[The aid pause] is absolutely a fair thing to do because our Prime Minister betrayed New Zealand and let the government and people of New Zealand down." But not everyone agrees. Rarotongan artist Tim Buchanan said Peters is being a bully. "It's like he's taken a page out of Donald Trump's playbook using money to coerce his friends," Buchanan said. "What is it exactly do you want from us Winston? What do you expect us to be doing to appease you." Buchanan said it has been a long road for the Cook Islands to get where it is now, and it seemed New Zealand wanted to knock the country back down.

RNZ News
16 hours ago
- Business
- RNZ News
NZ pauses millions of dollars in funding for the Cook Islands
New Zealand has paused nearly 20 million dollars in development assistance to the Cook Islands for the upcoming financial year.

RNZ News
a day ago
- Business
- RNZ News
Funding to Cook Islands on pause after partnership agreement
Nearly 20 million dollars in development assistance to the Cook Islands is on pause as New Zealand reacts to its Pacific neighbour's ever-closer ties with China. Wellington claims it was not consulted before the Cook Islands signed a partnership agreement with China in February, an alleged breach of the Cooks' committments to this country. The funding freeze was revealed in a front page splash in the Cook Island News, awkward timing for New Zealand Prime Minister Christopher Luxon as he prepares to meet with China's President Xi Jinping. Caleb Fotheringham has more. To embed this content on your own webpage, cut and paste the following: See terms of use.

RNZ News
a day ago
- Business
- RNZ News
Explainer: Why has New Zealand paused funding to the Cook Islands over China deal
The diplomatic row between the Cook Islands and New Zealand has come to a head. Photo: RNZ Pacific New Zealand has paused $18.2 million in development assistance funding to the Cook Islands after its government signed partnership agreements with China earlier this year. This move is causing consternation in the realm country, with one local political leader calling it "a significant escalation" between Avarua and Wellington. A spokesperson for Peters said the Cook Islands did not consult with Aotearoa over the China deals and failed to ensure shared interests were not put at risk. On Thursday (Wednesday local time), Cook Islands Prime Minister Mark Brown told parliament that his government knew the funding cut was coming. "We have been aware that this core sector support would not be forthcoming in this budget because this had not been signed off by the New Zealand government in previous months, so it has not been included in the budget that we are debating this week," he said. The Cook Islands did not think it needed to consult with New Zealand on the China agreement. Photo: LIU BIN A diplomatic row first kicked off in February between the two nations. Cook Islands Prime Minister Mark Brown went on an official visit to China, where he signed a "comprehensive strategic partnership" agreement . The agreements focus in areas of economy, infrastructure and maritime cooperation and seabed mineral development, among others. They do not include security or defence. However, to New Zealand's annoyance, Brown did not discuss the details with it first. Prior to signing, Brown said he was aware of the strong interest in the outcomes of his visit to China. Afterwards, a spokesperson for Peters released a statement saying New Zealand would consider the agreements closely, in light of the countries' mutual constitutional responsibilities. Cook Islands operates in free association with New Zealand. The country governs its own affairs, but New Zealand provides assistance with foreign affairs (upon request), disaster relief and defence. Cook Islanders also hold New Zealand passports entitling them to live and work there. In 2001, New Zealand and the Cook Islands signed a joint centenary declaration, which required the two to "consult regularly on defence and security issues". The Cook Islands did not think it needed to consult with New Zealand on the China agreement. Peters said there is an expectation that the government of the Cook Islands would not pursue policies that were "significantly at variance with New Zealand's interests". Later in February, the Cooks confirmed it had struck a five-year agreement with China to cooperate in exploring and researching seabed mineral riches. A spokesperson for Peters said at the time said the New Zealand government noted the mining agreements and would analyse them. Under the Cook Islands constitution, New Zealand cannot pass laws for the Cook Islands. Photo: Supplied / PMN On Thursday morning, Peters said the Cook Islands hadn't lived up to the 2001 declaration. Peters said the Cook Islands had failed to give satisfactory answers to New Zealand's questions about the arrangement. "We have made it very clear in our response to statements that were being made - which we do not think laid out the facts and truth behind this matter - of what New Zealand's position is," he said. "We've got responsibilities ourselves here. And we wanted to make sure that we didn't put a step wrong in our commitment and our special arrangement which goes back decades." Officials would be working through what the Cook Islands had to do so New Zealand was satisfied the funding could resume. He said New Zealand's message was conveyed to the Cook Islands government "in its finality" on 4 June. "When we made this decision, we said to them our senior officials need to work on clearing up this misunderstanding and confusion about our arrangements and about our relationship." Prime Minister Christopher Luxon is in China this week . Asked about the timing of Luxon's visit to China, and what he thought the response from China might be, Peters said the decision to pause the funding was not connected to China. He said he had raised the matter with his China counterpart Wang Yi, when he last visited China in February, and Wang understood New Zealand's relationship with the Cook Islands. Over the past three years, New Zealand has provided nearly $194.6 million (approximately US$117m) to the Cook Islands through the development programme. Cook Islands opposition leader Tina Browne said she was deeply concerned about the pause. Browne said she was informed of the funding pause on Wednesday night, and she was worried about the indication from Peters that it might affect future funding. She issued a "please explain" to Mark Brown: "The prime minister has been leading the country to think that everything with New Zealand has been repaired, hunky dory, etcetera - trust is still there," she said. "Wham-bam, we get this in the Cook Islands News this morning. What does that tell you?" Cook Islands Prime Minister Mark Brown, left, and Foreign Affairs Minister and Deputy Prime Minister Winston Peters in Rarotonga. 8 February 2024 Photo: RNZ Pacific / Eleisha Foon Massey University's defence and security expert Anna Powles told RNZ Pacific that aid should not be on the table in debate between New Zealand and the Cook Islands. "That spirit of the [2001] declaration is really in question here," she said. "The negotiation between the two countries needs to take aid as a bargaining chip off the table for it to be able to continue - for it to be successful." Powles said New Zealand's moves might help China strengthen its hand in the Pacific. She said China could contrast its position on using aid as a bargaining chip. "By Beijing being able to tell its partners in the region, 'we would never do that, and certainly we would never seek to leverage our relationships in this way'. This could be a very good news story for China, and it certainly puts New Zealand in a weaker position, as a consequence." However, a prominent Cook Islands lawyer said it was fair that New Zealand is pressing pause. Norman George said Brown should implore New Zealand for forgiveness. "It is absolutely a fair thing to do because our prime minister betrayed New Zealand and let the government and people of New Zealand down." RNZ Pacific has made multiple attempts to contact from Brown for comment.


Daily Mail
11-06-2025
- Business
- Daily Mail
The major question many Aussies want answered as Albo hands out $5BILLION to foreign countries: Here's where your cash went
The Australian government is facing calls to boost its foreign aid funding, despite sending over $5 billion overseas. Treasurer Jim Chalmers revealed in the March budget that Australia's official development assistance - the money it sends to foreign nations - would exceed the $5billion mark for the first time in ten years. Three-quarters of that funding - $2.2billion - went to nations in the Indo-Pacific, as the government attempts to counter China 's growing influence in the region. Foreign Minister Penny Wong said at the time that increase in funding was designed to 'central to ensuring stability and security of our region'. 'In these uncertain times, we are making sure Australia's development assistance is going to the Pacific and Southeast Asia, where Australia's interests are most at stake,' she added. The $2.2billion is flowing to projects supporting infrastructure, connectivity, tourism, trade, banking and labour mobility in the region. Elsewhere, Papa New Guinea, which will also receive $600million over ten years for a new professional rugby league team, is the largest recipient in 2025-26 with $707million in aid. Indonesia received Australia's second-largest sum with $351.4million. Prime Minister Anthony Albanese was keen to strengthen the relationship with Indonesia when he travelled to Jakarta on his first official visit since being re-elected on May 3. This keenness was underlined when Indonesia President Prabowo Subianto rang Albanese to congratulate him on his landslide victory. 'I have a request for you, and I want you to say yes,' Albanese told his counterpart. 'I want Indonesia to be my first visit. Not Washington, not Beijing, not anywhere else.' The Solomon Islands came third with just shy of $171million, Timor-Leste fourth with almost $136million and the Philippines fifth with $124.8million. Despite the $135.8million increase in overseas aid in the last financial year, Lowy Institute Research Associate Grace Stanhope has called on the Albanese administration to do more. 'Currently, Australia spends 0.18 per cent of gross national income on aid – barely a quarter of the OECD (Organisation for Economic Co-operation and Development) target of 0.7 per cent,' Ms Stanhope wrote for The Interpreter. She added: 'Ultimately, there's no escaping that Australia's aid budget is too low, threatening Australia's standing as a global citizen.' Just 0.65 per cent of federal government spending currently goes on overseas aid. Australia's generosity has decreased over time. For example, in 2015 Australia was ranked the 14th most generous country in terms of overseas aid, contributing around 0.29 per cent of gross national income (GNI), Whereas in 2024, its ranking had slipped to 18th, with just 0.19 per cent of GNI going towards overseas aid, according to the Australian Aid Tracker. This situation is unlikely to improve any time soon, as Ms Stanhope notes 'there is little political appetite to meaningfully scale up' overseas aid spending. 'Labor's first term promise of an aid program rebuild went largely unmet,' she added. This is against a global backdrop that has seen countries such as the US, UK, France and Germany all drastically reduce their overseas development assistance. Many Australians were frustrated about billions of dollars being sent overseas while the country faces its own challenges. 'How about aiding Australia first,' one said on social media. 'I find it funny that not one politician has asked me if they can use my money to send overseas after all it has come from my pay packet,' a second added. 'Five billion he could spend on electricity bills for his own people,' another said. 'Imagine if that was added to our defence budget - to buy more defence capability, to defend Australia perhaps,' a third said. Despite sending money overseas, Australia does not receive foreign aid from other countries. 'So we're nearly a trillion dollars in debt and giving five billion overseas, does that mean we borrow money to give it away,' one said.