New Zealand has paused nearly $20 million in development assistance to the Cook Islands over its recent dealings with China.
New Zealand raised concerns in February, after Cook Islands Prime Minister Mark Brown travelled to China, prior to signing its Comprehensive Strategic Partnership with the global powerhouse. The deal covered economic, infrastructure and maritime cooperation, as well as seabed mineral development.
It comes amid concerns around China’s growing influence in the Pacific.
In a statement this morning, a spokesperson for Foreign Minister Winston Peters said $18.2 million in development funding for the 2205/26 financial year allotted to the Cook Islands, which is in free association with New Zealand, would not continue “until the Cook Islands Government takes concrete steps to repair the relationship and restore trust”.
Significant new funding would also not be considered.
“This decision was taken by Minister Peters in early June, and communicated at the time via letter to Cooks Prime Minister Mark Brown.”
According to the statement, New Zealand had provided $194.2 million to the Cook Islands through its development programme over the last three years.
It said the “breadth” of the agreements signed between the Cook Islands and China, and the lack of consultation with New Zealand, “illustrate a gap in understanding between the Cook Islands and New Zealand governments about what our special relationship of free association requires”
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“Trust and meaningful engagement are fundamental to free association.”
Under the constitutional agreement between New Zealand and the Cook Islands, the nations must cooperate and consult on any issues of defence and security and advise each other of any risks to either state.
The spokesperson said New Zealand assessed its development plan in the Cook Islands to ensure it wasn’t undermined by the “increased cooperation” the island nation was planning with China.
“This was required because the Cook Islands Government did not engage with New Zealand in advance of their discussions and agreements with China to ensure our shared interests were not put at risk.”
It said New Zealand’s concerns and the assessment were “clearly foreshadowed” to the Cook Islands’ Government.
Peters this morning told media he had not spoken to anyone from the Cook Islands Government over the last couple of days as “they’d been told about that a long time ago”.
“This is not new,” he said.
The Minister’s spokesperson said payments and new funding would not continue until the Cook Islands’ Government took “concrete steps to repair the relationship and restore trust”
“New Zealand hopes that steps will be taken swiftly to address New Zealand’s concerns so that this support can be resumed as soon as possible.”
The announcement came as Prime Minister Christopher Luxon visits China. He was due to meet with President Xi Jinping this week.
Peters said he was not worried that China would perceive New Zealand’s move negatively.
“I went and told the Chinese about our special relationship a long, long time ago. And I went back on my last visit to iterate that there.” He said the constitutional arrangement was “totally understood” by China.
He said it would not impact Luxon’s visit to China, as it was a matter between New Zealand and the Cook Islands.
“It’s to do with our relationship, and what we’ve committed ourselves to.”
Speaking to Breakfast this morning, senior National Minister Chris Bishop said that while he was “just getting my head around” New Zealand’s move, it reflected that the Cook Islands’ growing relationship with China had been of concern to New Zealand
Labour’s McAnulty and National’s Bishop on NZ’s Cook Islands move
“The special relationship we have of free association between the Cooks and New Zealand has been essentially tarnished somewhat.”
Labour’s Kerian McAnulty said that while the Cooks’ recent move had been concerning, an “extraordinary piece of news had been thrown at us”, especially while the Prime Minister was in China.
“Winston Peters has a lot to answer for today.”
He did say, however, the concerns raised by Peters were “entirely valid” but pulling funding was a “different matter” that should have been further consulted on.
Their relationship with New Zealand meant the Cook Islands were free to make its own moves on policies and partnerships — at home and abroad — while enjoying the benefits of a New Zealand passport and citizenship, plus substantial investment and aid. However, it must consult with New Zealand on any issues of defence and security.
In February, hundreds gathered outside the Cook Islands parliament in Avarua to Protest Brown’s recent moves.
Protesters had concerns around a proposed Cook Islands passport, which had since been put on the “back burner”, a controversial cryptocurrency bill, and the country’s recent deals with China.
In February, Brown said the Cook Islands valued its relationship with New Zealand, and would “expect the same respect in return”.
“Disagreements, though difficult, are an inevitable part of international relations, but they should never define the entirety of our engagement”.
Tue, Jun 174:59As a developed country now, we are required to engage with our development partners on an equal footing,” he said.
