'Call me Barack' ...Obama calls Key for first time

United States President Barack Obama has called Prime Minister John Key for the first time, saying you "can call me Barack".

Mr Key said they had a very cordial conversation.

"We had a very good conversation, he expressed that New Zealand and the United States had a very strong relationship and he wanted that relationship to be even better," Mr Key said.

"We had a broad-ranging conversation about the economy, we talked about Afghanistan. He thanked us for our contribution in Bamiyan."

The President had not asked for New Zealand to send the Special Air Service to Afghanistan.

"I raised with him the issue of free trade and pointed out to him that it was very important to New Zealand," Mr Key said.

"He seemed sympathetic I thought...and made it clear that was something that was on the agenda for us to talk about."

Mr Key said he had made it clear that the US's trade deal with Australia, put New Zealand at a competitive disadvantage.

The call had been planned for the last few weeks and it had been a matter of fitting in with President Obama's schedule.

Mr Key was told this morning the call would come.

The 15-minute conversation was an introductory call, with the ability to talk about a wide range of issues without any specific issue at stake.

At first President Obama had started formally.

"He said Mr Prime Minister, but at the end he said call me Barack. He already called me John and I felt very comfortable with that."

President Obama said he had friends who lived in New Zealand and would love to come and play golf.

Asked whether there was a chance of either men visiting each other's countries, Mr Key said President Obama was due to travel to Asia this year.

"Whether there will be a visit from either side is a little bit of a challenge at this point."

Mr Key said he had not done any planning to go to Washington, but there would be an opportunity for the pair to meet when they both attended Apec in Singapore later this year.

Mr Key would like an opportunity for a formal meeting at some point, but this would be taken one step at a time.

President Obama comes from Hawaii, where Mr Key has a holiday home.

"If he wants to come and stay, he would be more than welcome."

- NZPA