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New Zealand Freezes Aid to Cook Islands Over China Pact, Demands Restoration of Trust

New Zealand has halted $11m aid to Cook Islands after secretive China deals spark fears of growing regional influence

New Zealand has suspended millions of dollars in aid to the Cook Islands following revelations of sweeping agreements between the Pacific nation and China deals that Wellington says it was never consulted on.

The NZ$18.2 million (US$11 million) freeze follows February announcements by the Cook Islands of partnerships with Beijing covering infrastructure, technology, tourism, and deep-sea mining, a move that blindsided New Zealand, its largest aid donor and defence partner.

“Funding relies on a high-trust bilateral relationship,” said a spokesperson for New Zealand Foreign Minister Winston Peters, who confirmed that future aid will be withheld until the Cook Islands “takes concrete steps to repair the relationship and restore trust.”

The Cook Islands responded diplomatically, saying it “highly values” New Zealand’s longstanding development support and is committed to resolving the tensions.

“Constructive dialogue is ongoing,” its Foreign Ministry said.

The suspension comes amid wider anxiety among Western allies over China’s expanding footprint in the Pacific, following a similar security pact with the Solomon Islands in 2022 that alarmed Australia, New Zealand, and the US.

Cook Islands Prime Minister Mark Brown defended the China deals earlier this year, claiming they served his country’s “long-term interests” and did not signal a shift away from historic alliances with Wellington or Canberra.

Still, the deals sparked domestic protests in Rarotonga and a failed vote of no confidence against Brown. China, for its part, has denied any hostile intent behind the agreements.

The fallout is particularly sensitive given New Zealand’s “free association” status with the Cook Islands, which includes shared defence responsibilities and the right of Cook Islanders to hold New Zealand passports. While the Cook Islands has only 15,000 residents, over 100,000 live in New Zealand and Australia.

The rift underscores rising tensions as Pacific nations weigh development needs against growing geopolitical competition.

New Zealand is urging swift resolution especially as Prime Minister Christopher Luxon prepares to meet with Chinese President Xi Jinping this week in Beijing.

Erizia Rubyjeana

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