KEY POINTS:
Foreign Minister Winston Peters has welcomed news that North Korea has agreed to dismantle its nuclear facilities in exchange for energy assistance and other measures.
"We are currently examining the detail of the agreement, but by all accounts it looks like a significant step," Mr Peters said.
"We congratulate the participating countries in the Six Party Talks for being able to work through the issue of North Korea's nuclear programme. New Zealand has long believed that dialogue was the key to finding a solution."
There would be challenges to resolve in the period ahead, but the agreement represented a "significant step forward" in a process which had been effectively stalled since September 2005.
The draft deal was struck between North Korea and the United States, China, South Korea, Japan and Russia and formalised in Beijing yesterday.
New Zealand established diplomatic relations with North Korea in 2001 but development of the relationship has remained on hold due to North Korea's nuclear and missile weapons programmes.
- NZPA
