Pensioners in Niue have been promised a 30 percent increase in their allowance.
The Premier of Niue Toke Talagi made the announcement during the country's 39th Constitution Day celebrations in Alofi on Sunday.
Niue, along with the Cook Islands, Tokelau and the Ross Dependency forms part of the Realm of New Zealand.
From the age of 60, Niuean citizens are eligible to receive a pension of 230 dollars a fortnight but the Premier says this will go up to 300 dollars a fortnight from the next pay period.
Toke Talagi says a key reason behind the increase is to catch up with New Zealand's recent decision to make it easier for New Zealanders retiring to countries within the Realm to collect their pension.
He says another is to do with Niue's small population which is about 1,500 people.
"If we want to retain the population, this is one of the key things we need to do. It's not just for the pensioners but it's also for the public servants who live here as well as the people in the private sector. We've got to invest in those people and retain them."
Toke Talagi says the increase will cost the government half a million dollars annually, and will come from its savings and profits from foreign business ventures.
