Diaspora urged to invest back home

Members of the Cook Islands community are being encouraged to bring their resources and investments back home.

Repeta Puna, the Chief Executive of the Cook Islands Business Trade and Investment Board, is part of a delegation holding meetings across Aotearoa New Zealand and Australia to pitch ways to strengthen the Pacific nation's economy.

In an interview with PMN Cooks' host, Susnation Seta, Puna says, “Some of our people who have made a few pennies in New Zealand and Australia are looking at how they can best spend that money, and we’re just here to discuss some options."

She says there are crucial sectors that need long-term investment.

“In the construction sector, we don’t have enough electricians, we don’t have enough plumbers, we don’t have enough builders.

“In the medical field, we don’t have enough doctors, nurses, lab technicians, and anaesthetists.”

Puna believes there is untapped potential in a creative industry unique to the Cook Islands.

“A lot of our diaspora have kept the cultural capital. You guys are sitting on gold," she says.

“A lot of our mamas are still doing Tivaevae, and maybe there's a possibility of collaborating and see how we can further commercialise or sell our Tivaevae. But those are things that we need that belong to us only.”

Watch Repeta Puna's full interview below.

Supporting local

The outreach effort supports the Cook Islands Development Act, which prioritises locals before considering foreign investment, Puna adds.

The Board has developed a policy where any business sale must first be offered to Cook Island investors before being considered by external investors.

“We require these businesses to be advertised for three months in both newspapers, and if we know there’s a local that’s interested in that investment opportunity, then we hold the process until we’re satisfied the local person has invested, or they cannot come up with the funds to invest.”

Aitutaki is a major tourism draw for the Cook Islands. Photo/Cook Islands Tourism

Talks were held in Tokoroa earlier this week, before heading to Auckland, Wellington, and Christchurch, and then across the Tasman to Brisbane and Melbourne, starting from 12 April.

Puna says efforts are being made to hold discussions in the evenings, with the aim of creating tangible resources, such as an online hub or community page, for investment opportunities.

“We will set systems up so if anyone is interested in investing, you would then be linked straight into the agencies in Rarotonga.”

Puna emphasises that engaging Cook Islanders in the diaspora is essential for maintaining local ownership and fostering a sense of shared responsibility for the nation’s development.

Discussions were held in Māngere, Auckland, on Wednesday evening. Photo/PMN Cooks

In the meantime, business website Nomad Capitalist encourages global investors to set up offshore funds in the Cook Islands “for the purposes of asset protection”.

The website states: “The Cook Islands has no capital gains tax, inheritance tax, stamp duty, capital transfer tax, gift tax, or wealth tax.

“There is an income tax exemption for assets and income generated outside the Cook Islands.”