Ideas to Action:

Independent research for global prosperity

New Zealand—Commitment to Development Index

The Commitment to Development Index ranks 27 of the world’s richest countries on policies that affect people living in poorer nations. This is the country report for New Zealand. For results of all countries, visit the main CDI page.

Overall

New Zealand ranks 10th on the Commitment to Development Index, with strong performances on the trade and migration components. 
SCORE:
= other countries’ scores

Aid

In 2016, New Zealand provided 0.25% of its GNI for development assistance. This is significantly below the international commitment of 0.7% GNI and below the average among the CDI countries. The quality of New Zealand’s aid program is good compared to others, but it could be improved by providing greater support to poor countries and multilateral agencies.
SCORE:
= other countries’ scores

Finance

New Zealand ranks 19th on the finance component. New Zealand receives a good score on its international investment agreements, as they take into account the public policy goals of developing countries and incorporate a sustainable development approach. It lags, however, on the international frameworks regulating investments. New Zealand could step up its efforts for sustainable development for all by putting in place a national action plan on business and human rights, as set out in the OECD guidelines on multinational companies, and by becoming a donor to the Extractives Global Programmatic Support (EGPS) Multi-Donor Trust Fund. On financial transparency, New Zealand’s performance is average, with room for improvement on public company ownership and country-by-country reporting.
SCORE:
= other countries’ scores

Technology

New Zealand performs below average on the technology component. This is mainly because of limited government support for research and development; in 2016, New Zealand’s government provided only 0.54% of its GDP (weighted) to research and development, and the government’s provision of incentives for business R&D activities remained limited. New Zealand deserves praise, however, for its intellectual property rights, which are the most development friendly among all the CDI countries. In particular, the design of its rights loss provisions and “TRIPS-Plus” measures enables knowledge sharing and its spread to developing countries.
SCORE:
= other countries’ scores

Environment

New Zealand performs below average on the environment, despite having low fishing subsidies and being party to important international conventions, such as the Paris agreement and the UN fish stocks agreement. Its greenhouse gas emissions per capita are relatively high, and its reduction rate is below average. It can also improve by raising its gasoline taxes and stepping up its commitment to the different biodiversity treaties. 
SCORE:
= other countries’ scores

Trade

New Zealand performs well on trade, ranking 4th. This position reflects New Zealand’s open policies across all indicators of the trade component. New Zealand deserves praise for having the lowest agricultural subsidies of all the CDI countries. It also has among the lowest tariffs on imports from developing countries and few restrictions on trade in services. New Zealand could, however, reduce the red-tape measures that limit imports. While trading across borders is cheaper than in other countries, New Zealand could lower costs further by reducing the average number of days required for imports to clear the border formalities. 
SCORE:
= other countries’ scores

Security

Ranking 8th, New Zealand performs above average on security. New Zealand is party to all international security agreements taken into account in the CDI and is one of the few countries that do not export arms to poor and undemocratic countries. New Zealand’s involvement in international peacekeeping efforts is relatively low, however, and it does not contribute to global sea lanes protection. 
SCORE:
= other countries’ scores

Migration

New Zealand has development-friendly migration policies, ranking 3rd this year. New Zealand has very open borders for students (with the best score) and migrants from developing countries. After Sweden and Portugal, it also has the best integration policies. New Zealand could enhance its efforts to accept more refugees and asylum seekers, where its efforts are below average. 
SCORE:
= other countries’ scores