New Zealand's kingmaker holds caucus meeting amid talk decision is close

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Peters hasn't cheated MMP: expert

In her first remarks since tonight's announcement of the coalition by NZ First leader Winston Peters, she said it is an absolute honour and a privilege to have the ability as the leader of the Labour Party to form a government for all New Zealanders. And in light of those comments, the Foreign Minister also said she would not trust a New Zealand Labour government should they win the election after she "had been used by the Australian Labor Party to seek to undermine the Australian Government".

'This is highly unethical at least but more importantly it puts at risk the relationship between the Australian government and the New Zealand government, ' Ms Bishop said at the time.

Ardern said Labour had found "true allies in parliament" - NZ First and the Greens - with whom a coalition could be formed to deliver the party's vision for the country.

She became Labour's youngest ever leader back in August, less than two months out from an election, and generated huge support (remember "Jacindamania") that took the party from underdog to real contender in an incredibly short period of time.

Last night, National Party leader Bill English said there could be further negotiations with New Zealand First this morning.

His announcement was greeted with shock and elation in Labour Party headquarters, CNN affiliate Radio New Zealand reported.

He said the talks went down to the wire, with new information arriving throughout the day, finally addressing a media conference.

Prime Minister Bill English says his party has grown the economy and produced increasing budget surpluses which benefit the nation. At 37, she is set to be the country's youngest prime minister since 1856.

The new coalition will also be supported by the Green Party.

Still, they predict both governments will want to move quickly to restore the relationship now Labour has won power.

Nawaz Sharif, daughter Maryam and son-in-law Capt Safdar indicted in graft case
However, the court reserved its decision on a third application, seeking a merger of the three references filed against Sharif. Sharif and his sons - Hassan and Hussain - are likely to be indicted in the other two references later today.

"We're getting close", NZ First MP Fletcher Tabuteau said.

The decision is about to see the shift of the government from New Zealand National party, which led a minority government for the past nine years, to Labor party.

"We've always wanted to be in a coalition with one party, no more", he said.

Ms Ardern had targeted young New Zealanders with policies on education subsidies, housing and the environment.

"No doubt she saw it on the television", Peters quipped about Ardern, who he said displayed "extraordinary talent" during the campaign.

However, reflecting NZ First's hardline immigration policies, Peters said he expected there would "be fewer people coming here", though he attempted to reassure employers dependent on skilled immigrants, saying "it's the massive number who are coming who are not skilled that concern us".

National has held power for the past nine years.

But a surprise decision by then-Labour leader Andrew Little to stand aside at the start of the campaign made room for Ardern, a three-term member of Parliament.

While Ardern was a known and popular figure in New Zealand politics, her success as Labour leader nevertheless took many observers by surprise.

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