Prime Minister Jacinda Ardern said this was another step to support young people in poverty.
"We know that nearly 95,000 nine to 18-year-olds may stay at home during their periods due to not being able to afford period products. By making them freely available, we support these young people to continue learning at school.
"Our plan to halve child poverty in 10 years is making a difference, but there is more to do and with families hit hard by the Covid-19 global pandemic it's important to increase that support in the areas it can make an immediate difference."
Findings from the Youth19 Survey found 12 percent of students in Years 9 to 13 who menstruate reported difficulty getting access to products due to cost.
Approximately one in 12 students reported having missed school due to lack of access to sanitary products.
This trend is worse for lower decile schools, but barriers to access exist for students in schools of all deciles.
Minister for Women Julie Anne Genter thanked the researchers and campaigners who helped raise the issue of the prohibitive cost of period products for some families, and the subsequent absence from school for some children and young people.
"Menstruation is a fact of life for half the population and access to these products is a necessity, not a luxury.
"We want an Aotearoa New Zealand where all people have access to education and the things they need to live a good life - I am so pleased this Government is finding ways of helping children and young people, at a time when every extra bit of assistance is important", Genter said.