New Zealand has a “challenge and a particular issue with the Cook Islands government about transparency”, Prime Minister Christopher Luxon says.
He made the comments on TVNZ on Monday, following reports that suspension of aid payments to the Cook Islands had continued, taking the total amount paused to $29.8 million (US$16.75 million).
In June, Foreign Minister Winston Peters stopped $18.2 million (US$10.23 million) in aid payments after the Cook Islands signed deals with China without consulting New Zealand.
1News has now reported it obtained, under the Official Information Act, a letter – dated 13 October – from Peters to Cook Islands Prime Minister Mark Brown confirming the $18.2mUS$10.23 million) would continue to be paused, along with a further payment due around this time, taking the total to $29.8m(US$16.75 million).
Luxon said the Cook Islands had to consult with New Zealand. “We’ve had issues around trust,” he told TVNZ.
“They have certain rights, but also they have certain responsibilities to us – because we are responsible for the defence and security,” Luxon said.
“So, what’s happened here is that New Zealand provides budget money into the Cook Islands … That money is provided on a trust basis, and that trust has been, you know, broken, essentially. We want that restored.
“We have our officials working through the issues, which are really around security and defence and mitigations. We want that to continue to close out, and then we can restore that funding,” Luxon said.
It had been a difficult decision for Peters, who had thought about the issue carefully and decided this was the right course of action for now.
At the same time, New Zealand’s relationship with the people of the Cook Islands was “incredibly strong”, Luxon said.
“They’re family. They’re New Zealand citizens. They’ve made a great contribution to our country. We love them.”
The Cook Islands is a self-governing state in free association with New Zealand, the Ministry of Foreign Affairs and Trade website says.
It is part of the Realm of New Zealand, meaning the countries share the same head of state, King Charles.
Although the Cook Islands conducted its own affairs, New Zealand had a constitutional responsibility to respond to requests for assistance with foreign affairs, disasters and defence from the government of the Cook Islands.
The Cook Islands had an international legal personality and conducted its own international relations, including establishing diplomatic relationships with many countries, MFAT said.












