Perspectives on the Pacific: Winston Peters outlines why the South Pacific region is important to New Zealand, discusses challenges facing it, and explains the values and priorities that underpin New Zealand's engagement with it.

• Author: Peter, Winston

The Pacific is of critical importance to New Zealand's foreign policy because it is our neighbourhood, and our primary sphere of influence. As well, how we conduct our foreign policy in this context has an important bearing on our relationships with key partners in other parts of the world.

Three key factors define our place in the region. The first is geography. The Pacific is our neighbourhood. The second is cultural. Around one in sixteen New Zealanders is of Pacific Islands origin and the tangible impact of the Pacific on New Zealand's cultural experience is evidenced in the distinctive voice and contribution New Zealanders with a Pacific Islands heritage bring to our wider arts and cultural communities.

The third factor relates to constitutional and historical linkages. The people of the Cook Islands, Niue and Tokelau are also citizens of New Zealand, and we have a unique Treaty of Friendship with Samoa. Special immigration access quotas for the Pacific are an important part of New Zealand's migration and cultural links with the wider region.

These factors are part of both the depth and breadth of the many bilateral relationships with the Pacific which serve as a basic starting point for New Zealand's engagement with the region.

Many challenges

Many challenges confront the Pacific. Some are intrinsic to the region's physical reality, such as distance and isolation, fragile physical environments, limited natural resources, and vulnerability to natural disasters. Others reflect social trends. These include non-communicable 'lifestyle' diseases such as diabetes and communicable diseases such as malaria and, increasingly, HIV/AIDs. Population increase is placing severe strain on education, health and employment prospects in much of Melanesia, while the reverse 'dramatic population decline' is testing the viability of some microstates, such as Niue.

A number of Pacific Islands states face challenges of governance. These arise from weak or corroded institutions of state, capacity and human resource constraints, and an uneasy tension between traditional wantok power systems and contemporary demands for transparent accountable government. Sadly, parochialism and corruption are too often the result.

Poor governance can not only affect internal stability and equitable development but also undermine the sustainable management of scarce natural resources such as fisheries, forests, and minerals. These are vital to the future viability of the Pacific states as economic entities.

Absolute poverty

In pockets of the Pacific absolute poverty is increasing. The socio-economic indicators of some countries in Melanesia are almost on a par with countries of sub-Saharan Africa. In some cases there are major internal disparities in living standards. Internal instability, land conflicts and ethnic tensions further drive down standards of living. These factors also affect the overall regional security environment.

While this seemingly paints a gloomy picture, the news is not all bad. A number of countries have enjoyed sustained economic growth in recent years. There have been positive moves to work with partner governments to help build and supplement capacity in key government institutions, for example in the Solomon Islands, Papua New Guinea and Niue.

Situations of internal conflict and unrest are being addressed. Elections taking place again this year in the Solomons and Fiji will demonstrate that effective democratic institutions can be rebuilt after a period of disruption to constitutional processes.

New impetus

The Pacific Plan for regional co-operation has given new impetus to enhanced co-operation and development of regional resources. The Pacific Islands Forum as an organisation has been empowered by its leaders to take a more active role in addressing potential or actual situations of instability. I commend the excellent work that Secretary-General of the Pacific Islands Forum Greg Urwin and the Secretariat are doing in pressing ahead with implementation of the Pacific Plan.

Regional co-operation across a range of key functional areas such as police, defence, customs, and immigration is proving its value in addressing issues such as cross-border security. In the area...