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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.

After the Second World War, significant immigration from the Pacific Islands began, so much so that there are now more nationals from some Pacific island nations living in New Zealand than on their home islands. The wide variety of Pacific Island cultures has combined in New Zealand, mostly in South Auckland, to form a distinctive subculture that is separate from the Maori culture.

New Zealand's head of state is the Queen of New Zealand, currently Elizabeth II. The New Zealand monarchy has been distinct from the British monarchy since the New Zealand Royal Titles Act of 1953, and all Elizabeth II's official business in New Zealand is conducted in the name of the Queen of New Zealand, not the Queen of the United Kingdom. In practice, the functions of the monarchy are conducted by a Governor-General, appointed on the recommendation of the Prime Minister.

While New Zealand men often take pride in being 'strong, silent types', this attitude may have a downside in contributing to New Zealand having one of the highest suicide rates among young males in the industrialised world.

The Cabinet, which is responsible to Parliament, exercises executive authority. (The Cabinet forms the practical expression of a formal body known as the Executive Council.) The Prime Minister, as the leader of the political party or coalition of parties holding the majority of seats in the House of Representatives, leads the Cabinet. All Cabinet Ministers must be Members of Parliament (MPs) and are collectively responsible to it.

New Zealand is the most geographically isolated of all countries. Its closest neighbour Australia is 2,000 km to the northwest of the main islands across the Tasman Sea. The only landmass to the south is Antarctica, and to the north are New Caledonia, Fiji, and Tonga.

New Zealand does possess the usual cultural activities such as theatre, dance, fine arts, classical and popular music and creative writing. However, due to the small population base and a lack of arts funding sources, many artists have struggled to sustain themselves economically, even though they may achieve popular success. For this reason many of New Zealand's best artists go overseas, especially to Australia, but also to Europe or America, so they can further their careers.

The country is internationally recognised as achieving extremely well on a medals-to-population ratio at Olympic Games and Commonwealth Games.

New Zealand (like Fiji) decided against joining the Commonwealth of Australia in 1901, and instead changed from being a colony to a separate "dominion" in 1907, equal in status to Australia and Canada. New Zealand retained an avowed loyalty to the British Empire of which it formed a part, and contributed proportionally large numbers of troops to aid Britain in the Boer War (1899 - 1902), World War I and World War II (see New Zealand in World War II). New Zealand's complete independence was formalised by the 1926 Balfour Declaration and the 1931 Statute of Westminster, ratified on November 25, 1947. The monarch of the United Kingdom remains the monarch of New Zealand, which has been an independent constitutional monarchy. In 1951, the Legislative Council was abolished as ineffectual, thereby creating a unicameral legislature.

New Zealand is a unitary state rather than a federation — regions are created by the authority of the central government, rather than the central government being created by the authority of the regions. Local government in New Zealand has only the powers conferred upon it by Parliament. These powers have traditionally been distinctly fewer than in some other countries. For example, police and education are run by central government, while the provision of low-cost housing is optional for local councils. Many of them used to control ports and gas and electricity supply, but nearly all of that was privatised in the late 20th century.

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).

In 2004 it began discussing free trade with China, one of the first countries to do so.

Partly because of its geographical isolation from neighbouring countries, and partly because of the number and location of numerous uninhabited islands belonging to it, New Zealand's Exclusive economic zone of marine resources was the world's fifth largest, at 4.2 million square kilometres in the year 2000 (according to New Zealand's National Institute of Water and Atmospheric Research).

The conservative National Party and the left-leaning Labour Party have dominated New Zealand political life since a Labour government came to power in 1935. During 14 years in office (1935 - 1949), the Labour Party implemented a broad array of social and economic legislation, including comprehensive social security, a large scale public works programme, a 40-hour working week, a minimum basic wage, and compulsory unionism. The National Party won control of the government in 1949 and adopted many welfare measures instituted by the Labour Party. Except for two brief periods of Labour governments in 1957 - 1960 and 1972 - 1975, National held power until 1984.

For a variety of reasons many Maori and Pacific people have been socially disadvantaged, forming an underclass in some areas. Cultural considerations for both Maori and Pacific people now have a significant influence on educational, medical and social organisations, particularly in areas with high concentrations of these population groups.