The Cook Islands financial services sector is expanding rapidly, creating new chances for fintech, regtech, and cybersecurity providers. New international trust registrations reached a record 433, up 42% in the past year and almost 90% over two years, according to a Cook Islands Government report. Financial and insurance services generated more than NZ$48 million for the Cook Islands economy in 2024/25, compared with NZ$38 million in 2019-2020, up about 27%, and the sector now accounts for 8.5% of real GDP, from 8.3% a year earlier. As more international clients turn to Cook Islands asset protection trusts, financial services firms face growing demand for technology and compliance infrastructure and specialist expertise to manage increasingly complex cross-border structures.
US Clients Drive 85% of Trustee Company Revenue
The expansion of the Cook Islands financial services sector is linked to international demand for asset protection trusts. The jurisdiction’s asset protection legislation has been in place for more than four decades. Much of the demand comes from offshore clients, especially in the United States. Around 85% of revenue generated by licensed trustee companies comes from U.S. clients, primarily through asset protection structures. That cluster has increased the need for systems capable of supporting cross-border financial structures while meeting governance expectations across different nations. Southpac says demand extends across trust administration, regulatory compliance, identity verification, cybersecurity, payments and international client servicing.
Mike Arand, chief executive of Tauranga-based Southpac Group, which specialises in international asset protection and trust administration, said the next stage of development will depend heavily on the systems supporting international financial services. As the Cook Islands industry expands, it will need more sophisticated systems for trust administration, regulatory compliance, identity verification, cybersecurity, payments, and international client servicing. Arand said this creates an opportunity for fintech and regtech providers that can help firms operate securely across multiple jurisdictions.
Southpac Group says it has about USD $4 billion under administration across its global operations. The organization argues that New Zealand technology firms are particularly well-placed to serve the emerging market because of the close relationship between New Zealand and the Cook Islands and their similar legal traditions.
For financial services provided the opportunity extends beyond simply supporting a large number of trusts. Firms must also manage international clients, governance requirements and complex structures. The growth is also contributing to the wider Cook Islands economy. While tourism remains a major part of the economy, financial and insurance services provide an extra source of revenue that can be delivered remotely and is less exposed to constraints affecting global travel.
Financial Sector Roles Grew to 325, With 26 Unfilled
The sector expansion has also created a constraint on the Cook Islands labor market. Employment context shows that established roles across the comprehensive financial sector increased from 257 in 2020 to 25 in 2025, representing an increase of 68 positions. However, only 299 of these positions are filled. Vacancies remain across legal, accounting, trust administration, governance and technology functions.
The gap means financial services companies may need to depend on imported expertise, while increasing investment in digital systems that can help support operations as the industry grows. Arand said attracting skilled workers and investing in technology would be important to sustain the sector’s development. The jurisdiction has developed a global reputation for its asset protection trust legislation and is now administering billions of dollars in assets for international clients.
“Financial services contribute more than twice as much to the Cook Islands economy as agriculture, fishing and construction combined,” Arand said. “Continued growth will depend on attracting the people, technology and investment required to support a sophisticated international financial services sector.” Matthew Smith, lawyer and director of business development at Southpac Group, said the rise in trust registration reflected changing approaches to risk and wealth planning among clients.
“We are witnessing more business owners and professionals consider asset protection as a part of their wider risk management and succession planning rather than waiting until a legal claim comes. The Cook Islands has a long-established legal framework, but the industry supporting it must continue investing in technology and compliance systems as the complexity of global structures grows.” Smith said.
The Cook Islands is self-governing in free association with New Zealand , uses the New Zealand dollar and its people hold New Zealand citizenship. Despite those links, the financial services industry has a large global customer base and income model. The United States remains key to that market. Smith said US demand has driven much of the sector’s development and will remain its most crucial market.
“The United States has driven much of the sector’s recent growth and will remain its most important market,” Smith said.
With trust registrations at record levels and financial services contributing a growing share of the economy. The Cook Islands’ next phase of expansion is increasingly tied to the infrastructure behind the sector. Southpac frames that as a market for fintech, regtech and cybersecurity providers, shaped by the need to service global clients securely and within regulatory expectations.
