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New Zealand has a population of slightly over 4 million. About 80% of the population is of European descent. Maori people are the second largest ethnic group (14.7%). Between the 1996 and 2001 censuses, the number of people of Asian origin (6.6%) overtook that of Pacific Islanders (6.5%) (note that the census allowed multiple ethnic affiliations).

British culture in New Zealand has been significantly influenced by Maori and other Polynesians. Scottish influences are strong, mainly in the South Island. In general, early immigrants from other parts of Europe and Asia, and World War II refugees (particularly the Dutch) were readily assimilated.

During the late 1980s, the New Zealand Government sold a number of major trading enterprises, including its telecommunications company, railway network, a number of radio stations and two financial institutions in a series of asset sales. Although the New Zealand Government continues to own a number of significant businesses, collectively known as State-Owned Enterprises (SOEs), they are operated through arms-length shareholding arrangements as stand alone businesses that are required to operate profitably, just like any privately owned enterprise. Various items of protective legislation establish business objectives yet prevent shareholding governments from having influence over day to day operations of the business.

A number of New Zealand commentators have observed that there is no culture in New Zealand. This has led to protests from those who believe that there is a uniquely definable New Zealand culture. Perhaps one of the more memorable protests was the 1980 song "Culture" by The Knobz after outspoken Prime Minister Sir Robert Muldoon stated that New Zealand pop music was not part of the New Zealand cultural scene.

New Zealand has no native land mammals apart from some rare bats. Later Maori largely subsisted by cultivating the kumara, a type of sweet potato, which they had brought with them from Polynesia.

Of New Zealand's four million people, roughly three million live in the North Island and one million in the South Island. These islands are among the largest in the world and the combined land area is comparable to the British Isles or the US state of Colorado. Along with Aotearoa, another Maori name for New Zealand was Niu Tireni, a transliteration of the English name.

Because of its long isolation from the rest of the world, New Zealand has extraordinary flora and fauna. Until the arrival of the first humans just a millennium or two ago, 80% of the land was forested and, barring two species of bat, there were no non-marine mammals at all. Instead, New Zealand's forests were inhabited by a diverse range of birds (many of them flightless), reptiles, and insects—some of them almost the size of a mouse (see weta).

New Zealand has a strong party system in place. The first political party was founded in 1891, and its main rival was founded in 1909 — from that point until a change of electoral system in 1996, New Zealand had a two-party system in place. Today, New Zealand has a genuinely multi-party system, with eight parties currently represented in Parliament. Neither of the two largest parties has been able to govern without support from other groups since 1996, meaning that coalition government is common.

Kiwi (usually capitalised) has been applied to and adopted by New Zealanders as a nickname for themselves and as an adjective for their culture. It originates from kiwi (usually uncapitalised), the Maori word for several species of flightless birds endemic to New Zealand. The plural form for New Zealanders is always Kiwis. The plural forms for the birds are the anglicised kiwis or, following the Maori language, kiwi without an s.

In October 1990, the National Party again formed the government, for the first of three, three-year terms. In 1996 New Zealand elected its first MMP Parliament. The system was designed to increase representation of smaller parties in Parliament and appears to have done so. Since 1996, neither the National nor the Labour Party has had an absolute majority in Parliament, and for all but one of those years, the government has been a minority one. The current Labour government followed its November 1999 election success by outpolling National 41 per cent to 21 per cent in the July 2002 general election. Labour formed a coalition, minority government with Jim Anderton's Progressive Coalition, a left-wing party (subsequently named "Progressive Party") which holds two seats in Parliament.

Sporting and outdoor activities still play a significant part in the recreation of New Zealanders. Participation in a sport, rather than mere spectating, is considered a worthy pursuit. Team sports and sporting abilities are generally held in high regard, with top-performing players often becoming celebrities. However, New Zealanders can often be scathing when national sports teams and athletes lose.

Since 1984 successive governments have engaged in major economic restructuring, transforming New Zealand from a highly protectionist and regulated economy to a liberalised, free-trade economy. Despite periods of dynamic growth in the mid 1980s and early '90s, average yearly economic growth has been poorer than expected and is highly reliant on massive levels of immigration to boost GDP. However, since 1999 New Zealand has enjoyed a period of relatively strong and sustained growth.

New Zealand was featured as the setting for "Middle Earth" in the renowned early 21st century trilogy of films based on Tolkien's Lord of the Rings books. It has brought an additional interest in tourism to the nation.

The first Europeans known to reach New Zealand were the crew of Dutch explorer Abel Tasman's ships Heemskerck and Zeehaen, which anchored at the northern end of the South Island in December 1642 but sailed northward to Tonga following a clash with local Maori. Tasman sketched sections of the two main islands' west coasts. Tasman called them "Nova Zeelanda." The name Nieuw Zeeland appeared on charts of the area shortly afterward, having earlier been applied to an island near New Guinea. Lieutenant James Cook of His Majesty's Barque Endeavour made a fuller reconnaissance, surveying the shores of both islands in 1769 - 1770. Cook returned to New Zealand in both his subsequent Pacific voyages.