Zealand's Security Research Articles

The discourse of terror: carceralism, border politics, and security in Aotearoa New Zealand

ABSTRACT The discursive construction of terrorism in the media allows and limits possible policy responses. These constructions help set the precedent for modes of intervention and regularisation by the state by locating potential terrorists within the logic of security. Such a logic was a trademark of the so-called War on Terror and continues to be deployed around the world. This article examines the normative carceral discourse at play in the construction of terrorist perpetrators in Aotearoa New Zealand. Using the 2021 LynnMall terror attack as a case study, it investigates the limits of the New Zealand security dispositif that worked to construct the LynnMall attacker as a lost cause, incapable of intervention or rehabilitation. Drawing on insights from discourse theory, and critical discourse/dispositif analysis, it examines the resonant force between media discourses and the state’s security practices. Through an examination of national media coverage, court proceedings, and policy documents, it assesses the discursive conditions within which terrorist subjects are constructed for the public and regulated by the state. In doing so, it sheds light on the mutually reinforcing yet contradictory discourses of carceralism and border politics that inform contemporary security practices.

Trans-disciplinary Dialogue on New Zealand’s Counter Terrorism Approach: A Call to Action for Researchers.

In this introduction we set the scene for the eight articles that follow. We begin by evaluating recent academic literature on preventing and countering violent extremism (PCVE) produced overseas before signalling why this literature matters to New Zealand security professionals today. We then situate this special issue in relation to New Zealand’s ongoing counterterrorism efforts. Taking seriously Recommendation 14 of the Royal Commission of Inquiry into the Christchurch terrorist attack on 15 March 2019, which called for the Government to establish a programme to fund independent New Zealand-specific research on the causes of, and measures to prevent, violent extremism and terrorism, we highlight the recent contributions academics have made to improving our understanding of the phenomenon of terrorism, violent extremism and radicalisation from a New Zealand perspective. We close out this introduction by signalling worthwhile academic contributions that remain to be realised.

New Zealand’s alliance obligations in a China-Australia war

ABSTRACT Amidst concerns that Australia may end up in a military confrontation with China, this article evaluates New Zealand’s formal and informal alliance obligations in such an event. In keeping with Wellington’s current declaratory policy, New Zealand’s obligations would be most pressing if the attack occurred on or near Australia, although these would be less clear if China favoured coercion over violence. New Zealand is also likely to have strong alliance obligations if Australian forces were attacked in the South Pacific, the leading area for Australia-New Zealand security cooperation. If Australian forces were attacked in East Asia, New Zealand may have some obligations under the trilateral ANZUS Treaty despite the suspension of Washington’s commitments to Wellington under the same agreement. While New Zealand’s military capacity to assist Australia in maritime East Asia is limited, this is where a serious clash involving Australian and Chinese forces seems most likely. Enlarging the geographical focus of the trans-Tasman alliance may be logical in this new setting, but it could also be hazardous.

Restoring Public Trust and Confidence in New Zealand’s Intelligence and Security Agencies is a parliamentary commissioner for security the missing key?

New Zealand’s two intelligence and security agencies play crucial roles in preserving our democracy and protecting the public from various harms associated with political violence. Scandals involving intelligence professionals likely diminish public trust and confidence in these agencies, which appears to be very low among some marginalised communities and minority groups. While official secrecy is required for sound strategic and operational reasons, it hampers meaningful articulation of the value proposition underpinning these agencies and their work. Reassuring the public is vital for the intelligence and security agencies, given their highly intrusive powers. Rather than more reviews of, increased transparency by, or stronger accountability over the New Zealand Security Intelligence Service and the Government Communications Security Bureau, we suggest that a parliamentary commissioner for security is needed to help foster a level of public awareness and build the understanding required for trust and confidence to be restored in these agencies.

Reconfiguring the Relationship Between Intelligence Professionals and the Public: A First Step Towards Democratising New Zealand’s National Security?

The secrecy surrounding intelligence work has meant the relationship between New Zealand intelligence professionals and the public they serve has always been somewhat problematic. Over the past decade, leaks, scandals and a deadly act of terrorism have certainly not improved the public’s trust and confidence in the New Zealand Security Intelligence Service and the Government Communications Security Bureau. While the Government has undertaken several measures to strengthen the credibility of those agencies, including initiating public inquiries and bolstering governance arrangements, its current approach is rather limited, has reached those limits and could now be counterproductive. In light of the recommendations made by the Royal Commission of Inquiry into the Terrorist Attack on Christchurch Mosques on 15 March 2019 to increase public involvement in New Zealand’s counterterrorism effort, we argue that it is time for this problematic relationship between intelligence professionals and the public to be rethought and reconfigured. To that end, we identify several concrete actions that parliamentarians and university leaders could consider taking to actively support intelligence professionals as they foster a society of informed citizens and create new opportunities to bring national security matters into the heart of democracy’s deliberative processes.

Reconfiguring the Relationship Between Intelligence Professionals and the Public: A First Step Towards Democratising New Zealand’s National Security?

The secrecy surrounding intelligence work has meant the relationship between New Zealand intelligence professionals and the public they serve has always been somewhat problematic. Over the past decade, leaks, scandals and a deadly act of terrorism have certainly not improved the public’s trust and confidence in the New Zealand Security Intelligence Service and the Government Communications Security Bureau. While the Government has undertaken several measures to strengthen the credibility of those agencies, including initiating public inquiries and bolstering governance arrangements, its current approach is rather limited, has reached those limits and could now be counterproductive. In light of the recommendations made by the Royal Commission of Inquiry into the Terrorist Attack on Christchurch Mosques on 15 March 2019 to increase public involvement in New Zealand’s counterterrorism effort, we argue that it is time for this problematic relationship between intelligence professionals and the public to be rethought and reconfigured. To that end, we identify several concrete actions that parliamentarians and university leaders could consider taking to actively support intelligence professionals as they foster a society of informed citizens and create new opportunities to bring national security matters into the heart of democracy’s deliberative processes. Keywords: terrorism, public inquiries, official secrecy, transparency, expertise.

Reconfiguring the Relationship Between Intelligence Professionals and the Public: A First Step Towards Democratising New Zealand’s National Security?

The secrecy surrounding intelligence work has meant the relationship between New Zealand intelligence professionals and the public they serve has always been somewhat problematic. Over the past decade, leaks, scandals and a deadly act of terrorism have certainly not improved the public’s trust and confidence in the New Zealand Security Intelligence Service and the Government Communications Security Bureau. While the Government has undertaken several measures to strengthen the credibility of those agencies, including initiating public inquiries and bolstering governance arrangements, its current approach is rather limited, has reached those limits and could now be counterproductive. In light of the recommendations made by the Royal Commission of Inquiry into the Terrorist Attack on Christchurch Mosques on 15 March 2019 to increase public involvement in New Zealand’s counterterrorism effort, we argue that it is time for this problematic relationship between intelligence professionals and the public to be rethought and reconfigured. To that end, we identify several concrete actions that parliamentarians and university leaders could consider taking to actively support intelligence professionals as they foster a society of informed citizens and create new opportunities to bring national security matters into the heart of democracy’s deliberative processes. Keywords: terrorism, public inquiries, official secrecy, transparency, expertise.

Magic Weapons and Foreign Interference in New Zealand

In March 2021, the New Zealand Security Intelligence Service (SIS) launched a remarkable campaign to inform the New Zealand public on the risk of foreign interference. In New Zealand, reference to ‘foreign interference’ almost always relates to the foreign interference activities of the Chinese Communist Party (CCP) government. New Zealand has been severely affected by CCP foreign interference. For the Ardern government it was never a matter of ‘whether’ New Zealand would address this issue, but ‘how’. The SIS’s unprecedented public information campaign is part of a significant readjustment in New Zealand–China relations since 2018. This article documents some of those changes

Towards a critical discourse analysis of New Zealand security policy in Afghanistan

ABSTRACTRather than ask why New Zealand supported the intervention, this paper focuses on how representations of New Zealand and the international terrorist threat resulted in public acquiescence to a pre-emptive strike by the world's sole superpower against one of the poorest, most war-torn countries in the world. The paper concludes that legitimacy was achieved through the blending of themes of terrorism and war, national interest and democracy, rule of law and human rights, to produce an ambiguous ‘international campaign against terrorism’ that allowed for picking and choosing of the most convenient position on different matters. The alternative—to refuse moral and material support for the United States-led ‘war on terror’—was to risk New Zealand's membership of the United States-led international community and a ‘seat at the table’ in future international trade and security negotiations. As such, any campaign benefits appear to have accrued to New Zealand rather than Afghanistan or the Afghan people, especially given the parlous state of that country in 2018. A wide-ranging debate within New Zealand on the purpose of such interventions is needed before similar commitments are made in the future.

Countering Foreign Terrorist Fighters: Warrantless Surveillance Powers of the New Zealand Security Intelligence Service

On 9 December 2014, the New Zealand Security Intelligence Service Amendment Act 2014 amended the New Zealand Security Intelligence Service Act 1969 by removing the requirement for an intelligence or visual surveillance warrant in some situations of emergency or urgency. The warrant process is the primary mechanism for the purpose of ensuring surveillance powers are not exercised arbitrarily or unreasonably. Any departure from this process must be justified, limited and proportionate. After a brief look at the history of the Bill, this article will then consider the circumstances in which a warrantless authorisation shall be granted and information retained, with reference to the trigger concepts of "terrorist act", "foreign terrorist fighter" and "security". Amendments proposed include limiting the grounds for warrantless surveillance and information retention to countering "foreign terrorist fighters". It will then discuss the consistency of the Bill with the New Zealand Bill of Rights Act 1990, focusing on the authorisation structure and length. It will put forward a proposed amendment that restructures the power such that authorisation for surveillance in urgency will be provided by the Minister and Commissioner within 12 hours.

Regulation of Prediction Markets Under the Financial Markets Conduct Act 2013

The Financial Markets Conduct Act 2013 (FMC Act) represents the most substantial overhaul of New Zealand's securities law in recent history. The regulation of derivatives in particular featured high on the agenda as an area in need of reform and, as a result, the FMC Act is much more clear than the Securities Act 1978 and Securities Markets Act 1988 with respect to typical derivative agreements. The focus of this article, however, is on the atypical: the use of derivatives in prediction markets. This article examines whether New Zealand-based prediction market iPredict will be regulated under the FMC Act and, if so, how it will be regulated. The conclusion reached is that iPredict can operate under the FMC Act only if the Financial Markets Authority declares that its contracts are derivatives and grants substantial exemptions from regulatory compliance. This article then makes recommendations for a more coherent approach to the regulation of prediction markets by analogy with the new prescribed intermediary service licences under the FMC Act.

Extraditing Kim Dotcom: a case for reforming New Zealand's intelligence community?

Recent disclosures of information concerning the internal workings of New Zealand intelligence agencies offer fertile ground for scholarship reassessing New Zealand's security arrangements. Building upon only a few of these disclosures, this article argues that when the Government Communications Security Bureau decided to assist the New Zealand police with its extradition of Kim Dotcom to the United States it stimulated a flurry of media interest which not only signalled the widespread confusion among the intelligence community over the meaning of national security but also revealed systemic deformities within the intelligence community itself. The article concludes that this confusion over national security and those systemic deformities constitute a prima facie case for reforming New Zealand's intelligence community, though the prospects for an immediate transformation remain dim.

Dinamika Kerjasama Keamanan Selandia Baru-Amerika Serikat Sejak Tahun 2000

New Zealand's security relations with the United States was halted when the former's antinuclear policies during late 1980s caused the US to suspend their security commitments. However, changes in international structure affected the once-broken security relations. Since the beginning of the 21st century, rapprochement in security cooperation has occurred between New Zealand and the US. This article analyzes the underlying causes of the rapprochement through Neoclassical Realism's paradigm and balance of interest theory. Changes in international structure, especially the reemergence of China, as well as New Zealand's domestic politics reactions concerning the said changes, are the factors that shape New Zealand's rapprochement to the US. As a small state, New Zealand's respond towards the changes in international structure is supposed to be either bandwagoning or distancing. However, New Zealand chooses to bandwagon the US as well as establishing the policies of engagement with China.

The efficacy of the principle-based corporate governance practices: a case study of New Zealand

This study explores the efficacy of principle-based corporate governance practices on the financial performance of publicly listed companies in New Zealand. The New Zealand Securities Commission (hereafter NZSC) in 2004 promulgated nine high level principles and guidelines with an aim of improving corporate governance practices and boosting investor confidence in the New Zealand capital market. Our results show that the publicly listed companies have universally adopted the Securities Commission recommendations, establishing subcommittees for audit, remuneration and nomination, and have a majority of non-executive/independent directors on the boards. The empirical results suggest that the NZSC recommendations have had a positive effect on companies' financial performance. This study offers insights for policy makers interested in adopting principle-based corporate governance practices within their country. Within New Zealand, public policy developments and stock exchange listing requirements/regulatory issues with associated compliance burdens are better informed as a consequence of the research.

Improving Performance in New Zealand's Public Corporations: The Effect of Governance Practices

This article examines whether the corporate governance practices recommended by the New Zealand Securities Commission (NZSC) in 2004 have affected the financial performance of public sector corporate entities in New Zealand. The findings indicate that these entities have universally adopted the Securities Commission recommendations by establishing subcommittees for audit and remuneration, and having a majority of independent directors on the boards. The results show that leverage has a statistically significant positive effect on all performance measures. Both the Remuneration Committee and dividend payout have positive effects on performance when measured by sales to total assets. Board size and an Audit Committee have a positive effect on reducing agency cost. Results also show that entity risk and industry type also have a positive effect on performance and agency cost reduction. Entity size has a consistent negative effect across all performance measures.

New Zealand operating expense disclosure

PurposeThe purpose of this paper is to examine compliance with operating expense disclosure provisions contained in New Zealand approved accounting standards before and after the move to New Zealand equivalents to international financial reporting standards (NZ IFRS). Prior research showed poor disclosure practices and the paper seeks to determine if this has improved under international accounting standards for those who choose to adopt NZ IFRS prior to mandatory adoption.Design/methodology/approachAn empirical archival approach is used. While the sample size of early adopters is small, it does provide the unique ability to control for any temporal effects on disclosure practices.FindingsFull compliance with operating expenses that are mandated such as depreciation, directors and auditor fees under both NZ financial reporting standards (NZ FRS) and NZ IFRS was found. However, unspecified operating expense disclosures are still poor for those using NZ FRS. A substantial improvement was found in unspecified disclosure levels for those companies using the New Zealand equivalent to international accounting standard 1 (NZ IAS 1). However, the results also show areas of concern, for example, 14 per cent of listed companies using NZ IAS 1 did not disclose any unspecified expense items and 27 per cent of listed companies disclosed only one item.Practical implicationsThe results should be of relevance to preparers, analysts and regulators. The preliminary results were provided to the New Zealand Securities Commission. After its own analysis, it issued a statement expressing concern with the high level of unexplained expenses in financial statements.Originality/valueAdequate disclosure is considered a crucial element to help ensure efficient capital markets. The paper provides empirical insights into operating expense disclosure based on the requirements and wording contained within NZ FRS and NZ IFRS.

The efficacy of principle‐based corporate governance practices and firm financial performance

PurposeThis paper seeks to address the effect that principle‐based corporate governance practices have on the financial performance of large publicly‐listed companies. In 2004, the New Zealand Securities Commission (NZSC) promulgated nine high level principles and guidelines for all business entities with an aim of improving corporate governance practices and boosting investor confidence in the New Zealand capital market. This event provides a point for empirically testing companies' responses.Design/methodology/approachPanel data for the NZX top 50 companies over the period 1999‐2007 are analysed using ordinary least squares (OLS) and two stage least squares (2SLS) regression techniques to evaluate whether: those firms that were continuously compliant with the NZSC requirements perform better; and the firm performance post‐NZSC recommendations is better than pre‐NZSC recommendations. Tobin's Q, market‐to‐book (MB) and return on assets (ROA) metrics are used as dependent variables..FindingsThe findings indicate that large listed companies have universally adopted the Securities Commission recommendations, establishing subcommittees for audit and remuneration, and having a majority of non‐executive/independent directors on the board which, on average, have seven members. There is support for the view that the NZSC recommendations have had positive influence on firm performance measured by Tobin's Q, MB and ROA. The results show that the presence of a remuneration committee has had a positive influence on firm performance.Research limitations/implicationsThis study provides empirical support for the corporate governance recommendations made by the NZSC in 2004, giving support to the principle‐based corporate governance practices to be adopted in New Zealand. The sequential testing of each NZSC recommendation provides a comprehensive picture of performance outcomes which has not been achieved in prior research. The interdependency issues are of interest and the correlation between recommendations provides useful insights.Originality/valueThis study offers insights for policy makers interested in adopting principle‐based corporate governance practices within their country. Within New Zealand, public policy developments and stock exchange listing requirements/regulatory issues with associated compliance burdens are better informed as a consequence of the research.

Corporate governance practices of small cap companies and their financial performance: an empirical study in New Zealand

The purpose of this paper is to examine the effect of corporate governance practices of small cap companies have had on their financial performances. Previous studies have mainly examined governance practices of larger corporations. This analysis focuses on the governance variables that have been highlighted by the New Zealand Securities Commission (2004) governance principles and guidelines and also on the governance variables that are supported in the literature as providing an appropriate structure for the firm in the environment in which it operates. The data for 71 small cap companies listed in New Zealand over a five-year period from 2001 to 2005 was analysed. Pooled data, OLS and 2SLS regression techniques were used and Tobin's Q, ROA and OPINC were used as the dependent variables. The evidence does support the hypothesis that the existence of board independence and audit committee has enhanced firm financial performance, as measured by Tobin's Q.

The intraday price behaviour of Australian and New Zealand cross-listed stocks

This paper considers the intraday price behaviour of Australian stocks listed on the Australian Stock Exchange (ASX) and cross-listed on the New Zealand Stock Exchange (NZX), as well as the dynamics of the New Zealand securities listed on the NZX and cross-listed on the ASX. The study also investigates whether both markets are integrated and whether arbitrage opportunities are available. Consistent with prior literature, the results indicate that each market contributes to price discovery with the home market being dominant. Furthermore, the empirical evidence provides support for integration between the stock exchanges. Finally, arbitrage from trading dual-listed stocks across the two markets is generally not available.

Beyond the ‘Outer Crescent’: the Mackinder century in New Zealand geopolitics

This paper proposes that, although Mackinder never mentions New Zealand in his influential 1904 paper and despite the absence of a formal Kiwi geopolitical tradition, ‘The geographical pivot of history’ provides a useful framework with which to approach New Zealand geopolitics. The argument uses two Mackinderian ideas to suggest three phases in New Zealand's security relationships during the Mackinder century. First, New Zealand's commitment to Mackinder's ‘pivot area’ notion of ‘imperial defence’ and ‘collective security’ characterized its dependent security phase. Between 1973 and 1990/91 there was a transitional security phase towards Mackinder's second ‘global interconnectedness’ idea. Third, this shift led to a current interdependent security phase which is characterized by the recognition that New Zealand's security relationships, despite its geographic isolation, are mutually dependent on political, economic, and military events around the world. The impact of 11 September 2001 and the consequent ‘war on terror’ are also considered. The paper concludes by suggesting that New Zealand's post‐conflict reconstruction efforts in Afghanistan and Iraq point to the continuing relevance of Mackinder's ‘The geographical pivot of history’ to New Zealand geopolitics.