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25 May - 10:45 pm NZ
Updated at 11:43 am on 17 May 2012
The Government is to close the New Zealand embassy in Sweden as part of its drive to save $10 million from the cost of running the country's European posts.
The Stockholm post was opened by the Labour government in 2008 and downsized by the current Government a year later.
Foreign Affairs Minister Murray McCully says while the relationship with Sweden is excellent, it is not always necessary to have a diplomatic presence to maintain that relationship.
Other savings will be made by measures such as moving into cheaper accommodation.
Labour Party foreign affairs spokesperson Phil Goff says it is important to have a presence in Sweden especially when New Zealand is trying to negotiate a deal for trade preference in Europe.
Copyright © 2012, Radio New Zealand
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