After months of unsuccessful negotiations, New Zealand has halted two years' worth of aid payments, totaling approximately $30 million, to the Cook Islands. This move highlights a sharp decline in the political relationship between the neighboring Pacific nations.
In June, Foreign Minister Winston Peters stopped $18.2 million in funding following the Cook Islands signing several controversial agreements with China without consulting New Zealand, a requirement under their realm country arrangement.
Through the Official Information Act, 1News obtained a letter dated October 13 from Peters addressed to Cook Islands Prime Minister Mark Brown. It confirmed the continuation of the $18.2 million funding pause, along with an additional payment due around this time, bringing the total suspended aid to $29.8 million.
"The gravity of the Cook Islands' breach of trust" and an apparent ongoing disagreement concerning the interpretation of "free association with New Zealand."
The letter also pointed to a serious breakdown in communication between the two governments during these disputes.
New Zealand’s suspension of aid reflects deepening tensions and disputes over sovereignty and diplomatic engagement in the Pacific region.
Author's summary: The aid suspension reveals deteriorated relations and unresolved disagreements over diplomatic protocols between New Zealand and the Cook Islands.