Source: Asia Pacific Report
By Kaya Selby, RNZ Pacific journalist
New Zealand’s Budget 2026 will see more foreign aid to the Pacific region, while defence and customs spending rises with an eye towards crime and security.
But Pacific-focused policy work will be cut as the government seeks to reduce the size of the public sector, as the Ministry for Pacific Peoples (MPP) will see a $2.8 million cut over four years.
The ministry previously saw a significant cut in Budget 2024.
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New Zealand will spend $1.2 billion on foreign aid this fiscal year, around $116 million more than the last year.
Additionally, the Ministry for Foreign Affairs and Trade (MFAT) has set aside $110 million in aid spending for the Indo-Pacific exclusively for three years beginning in 2027/28.
Foreign Minister Winston Peters said a highly active and effective foreign policy is called for in what he called the most adverse and contested geostrategic environment of the past 80 years.
Original source: https://analysis1.mil-osi.com/2026/05/28/nz-budget-2026-boosts-pacific-aid-defence-spending-amid-security-concerns/