Jacinda Ardern will be New Zealand's next prime minister, with Winston Peters announcing a coalition government with NZ First and Labour this evening.
The decision, which came just after 6.30pm, followed 12 days of intense talks after NZ First found itself in the king-maker position after election night.
"We believe capitalism must regain its human face, that perception has deeply influenced NZ First's negotiations," Peters told media.
"We had a choice to make, whether it was either with National or Labour for a modified status quo or for change.
"In our negotiations both National and Labour were presented with that opportunity, working together, cooperating together for New Zealand.
"That's why in the end we chose a coalition government of NZ first with the Labour Party," Mr Peters said
Before announcing his decision the New Zealand First leader began by saying.
"On 23 September election day the effect of 446,000 or 70 per cent of that total were not known.
"We believed on election night that those uncounted votes would have a profound effect on the final outcome," Mr Peters said, as he spoke for around five minutes before revealing his choice.
"We entered the negotiations with Labour knowing that they would handle separately the Greens. We always wanted to be in a coalition government with one party, not more."
On Jacinda Ardern having enough experience to be Prime Minister: "Well we wouldn't have made the decision if we didn't.
"I think amongst other things she exhibited extraordinary talent in the campaign itself from a very hopeless position, to a position of being in the office of the next government today."
Winston on whether rebuilding New Zealand’s economy would require a drop in the dollar
"Now I've got to tell you we have not got the Minister of Finance's job, and it's for him to answer those questions."
Winston on his own role in negotiations
"Let me just say any role I've got is in agreement with the Prime Minster if I decided to do it.
"Well if I choose to be the deputy Prime Minister, that was made clear to me, and if I chose to take certain portfolios then we would discuss it with the Prime Minister and I don't want to say which ones those are."