Get 40% Off
⚠ Earnings Alert! Which stocks are poised to surge?
See the stocks on our ProPicks radar. These strategies gained 19.7% year-to-date.
Unlock full list

Unlikely allies eye vote to legalize cannabis in New Zealand

Published 10/24/2017, 02:14 AM
Updated 10/24/2017, 02:14 AM
© Reuters. New Zealand's Prime Minister-designate Jacinda Ardern speaks as she stands next to New Zealand First party leader Winston Peters after their meeting in Wellington

By Jonathan Barrett and Ana Nicolaci da Costa

WELLINGTON (Reuters) - New Zealand could become the first country in the Asia-Pacific region to legalize cannabis for personal use after an unlikely alliance of populist, centrist and leftist parties put drug policy immediately on the agenda of the incoming government.

Recreational marijuana use is legal in several U.S. states and European nations including the Netherlands and Spain, but countries in the Asia-Pacific tend to have strict prohibitions.

Australia recently introduced laws freeing up access to cannabis for medicinal use, but does not allow recreational use.

Labour's prime minister-designate Jacinda Ardern said on Tuesday she agreed with a Greens proposal for a referendum to legalize use of recreational cannabis.

"We agreed that what we are doing now simply isn't working, so we have said yes to having that referendum," Ardern told reporters in Wellington.

There is no timeframe for possible legalization, which would represent the first major reform of drug laws since the 1970s, but would depend on the public first voting to back reforms.

"Anything that helps shift New Zealand drug laws out of the dinosaur age is going to be a good thing," Ross Bell, executive director of the charitable NZ Drug Foundation, told Reuters.

"Arguably it is better for the sustainability of the reform to have a broad church like we've got with this government, so that it is not just seen as some sort of fringe liberal policy," Bell said in a telephone interview.

Drug law reforms figured in talks to form New Zealand's new government after a Sept. 23 election failed to yield a majority for either the governing National Party or opposition Labour, although neither major party had such a campaign plank.

The center-left Labour will govern with support from its new junior coalition member, the populist NZ First, which supports holding referendums on controversial issues.

The Greens have offered "confidence and supply" and the diverse group of parties is already starting to deliver a melange of policies, from potential relaxation of drug laws to tighter immigration controls.

© Reuters. New Zealand's Prime Minister-designate Jacinda Ardern speaks as she stands next to New Zealand First party leader Winston Peters after their meeting in Wellington

New Zealand's drug use ranks among the world's highest, a study by the NZ Drug Foundation shows. Too much money is spent on enforcement and convictions, rather than on health policies, says the body, which gets government and private funding.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.