New Zealand announced on Thursday that it will strengthen its economic and diplomatic relationship with Niue, a self-governing island nation in “free association” with it, following a meeting between Prime Minister Christopher Luxon and Niue’s Premier Dalton Tagelagi in Auckland.
Tensions With Cook Islands
The move follows a deterioration in relations with Cook Islands, with which New Zealand has similar ties. This week, Foreign Minister Winston Peters said New Zealand was extending until June 2026 its suspension of direct budget payments to the Cook Islands.
New Zealand suspended funding of NZ$18.2 million ($10.43 million) in June, over concerns about a lack of transparency in Cook Islands’ growing ties with China. The suspension amounts to NZ$30 million in two years of aid payments.
During the talks, Luxon and Tagelagi agreed to adhere to a “foundational political declaration”.
“By establishing the first enduring political declaration with Niue today, we are celebrating our relationship of free association and setting out our responsibilities to each other, as well as our shared goals,” Luxon said.
Broad Areas of Cooperation
The discussions covered a wide range of topics, including Pacific regionalism, security and defence cooperation, climate change, governance, and economic development.
Niue, known informally as the “Rock of Polynesia,” maintains a relationship with New Zealand, which provides economic assistance and handles foreign affairs and defence assistance if sought.
Although the United States recognised Niue as a sovereign, independent state in 2023, it remains part of the Realm of New Zealand within the British Commonwealth.
In a joint statement, both governments pledged to uphold open communication and mutual respect in resolving any disputes that might arise with other realm members. They also agreed to refrain from entering into any agreements or partnerships with third parties that could undermine the commitments set out in their new declaration.
(With inputs from Reuters)
