PRIME Minister Tony Abbott has heaped praise on the economic performance of New Zealand under John Key, saying the country provided the "very model" of centre-right government he'd happily emulate.
However, that goodwill doesn't mean Mr Abbott will back down on the thorny issue of welfare benefits for Kiwis living in Australia, again raised during the New Zealand Prime Minister's visit to Canberra.
New Zealanders living in Australia have long complained about being ineligible for welfare benefits, which Australians get when living across the ditch.
And Mr Abbott reiterated that the 300,000 New Zealanders in Australia on special category visas were unlikely to attain all the key benefits of permanent residency despite paying billions of dollars in taxes.
"New Zealanders have better access to Australia than the citizens of any other country and that's right and proper," said Mr Abbott, who added that he was happy to further discuss the issue with Mr Key.
"But I'm very happy with the situation that exists right now, which is that Kiwis coming here know that they're expected to work and pay taxes from day one."
Mr Key said he would continue to advocate for New Zealanders.
"(But) we totally respect the sovereign right of the Australian government to make the decision how it will treat people that come and work in Australia," he said.
Welfare rights were also raised during talks between the Australian and New Zealand foreign ministers in Wellington, where Julie Bishop said "we believe we have the balance right".
Mr Key is the first foreign leader to visit Australia since the September 7 election, and Mr Abbott was effusive about his guest.
"I'd like to say how impressed I am with the way the New Zealand national government has promoted economic growth, pursued very sensible orthodox economic policies, without in any way engaging in what's become known as austerity," he said.
"I'm happy to learn from the example of John Key in New Zealand."
Mr Key said their governments were kindred spirits.
"This is a relationship where I believe the chemistry will be very good, very strong," he said.
The issue of asylum seekers was also raised during their talks, with Mr Abbott casting doubts over a deal struck by the former Labor Government.
New Zealand has committed to annually settle 150 refugees processed by Australia under an arrangement due to start in 2014.
However, Mr Abbott said asylum seekers should not expect to get New Zealand as a "consolation prize".
"We're grateful for New Zealand's help," Mr Abbott said.
"If and when it becomes necessary, obviously we'll call on it."
One issue that wasn't canvassed was that of gay marriage, which was legalised by the New Zealand parliament last year.
"My position on that particular subject is pretty well known," Mr Abbott said.
Mr Key's half-day visit also included a stop at the Australian War Memorial, where both leaders laid a wreath at the Tomb of the Unknown Soldier.
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