'Breach of trust': NZ extends pause on Cook Islands payments
New Zealand has decided to continue the suspension of direct payments to the Cook Islands Government following the latter’s decision to form partnership agreements with China earlier this year.
According to the Ministry of Foreign Affairs, the amount of withheld funding totals NZ$29.8 million, covering two fiscal years.
"We took this step reluctantly and after careful 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."
The spokesperson added that New Zealand expects these concerns to be resolved and trust restored before releasing the funds.
"Significant development assistance to the Cook Islands continues, including in areas such as health, education, governance, security, and humanitarian support. This is being delivered through New Zealand agencies and regional programmes."
Foreign Minister Winston Peters confirmed that the Cook Islands Government had been informed of the original decision to suspend funding in early June.
"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."
Author’s Summary
New Zealand maintains a funding freeze on the Cook Islands due to trust concerns after its China partnership, though aid continues through alternative programs.