New Zealand Suspends Nearly $30 Million Aid to Cook Islands
Months of negotiations to mend New Zealand’s relationship with its Pacific neighbour have failed, leading to a suspension of nearly $30 million in aid payments to the Cook Islands. This move highlights a swift decline in political ties between the two countries.
Background of Aid Suspension
In June, Foreign Minister Winston Peters halted $18.2 million in funding after the Cook Islands signed several controversial agreements with China without consulting New Zealand, a requirement as a realm country.
Further Suspension Confirmed
A letter dated October 13 from Peters to Cook Islands Prime Minister Mark Brown, obtained through the Official Information Act by 1News, confirmed the continued pause of the $18.2 million aid. It also included an additional payment due around the same time, bringing the total amount withheld to $29.8 million.
Breakdown in Communication
“The gravity of the Cook Islands' breach of trust,” Peters wrote, indicating an ongoing dispute over the interpretation of “free association with New Zealand.”
These developments underscore a major breakdown in communication between New Zealand and the Cook Islands.
Source
Information adapted from 1News reporting.
Summary: New Zealand has suspended nearly $30 million in aid to the Cook Islands due to a serious breach of trust and unresolved disagreements, signaling a deep rift in their political relationship.