The Government is preparing to announce a new contestable fund of about $50 million to support community journalism.
It will be run over several years by New Zealand on Air and will be funded from the Government's Covid-19 response and recovery fund, of which $10.3 billion is unallocated.
It is understood the Cabinet approved a funding package this week and details will be unveiled within the next two weeks by Broadcasting and Media Minister Kris Faafoi.
NZ on Air already funds a $1 million pilot programme called Local Democracy Reporting (LDR) which is run through RNZ and supported by the News Publishers' Association.