New Zealand's Labour leader Jacinda Ardern will form the country's next government after gaining the support of a small nationalist party holding the balance of power following an inconclusive Sept. 23 election.
"This is an exciting day. We aspire to be a government for all New Zealanders and one that will seize the opportunity to build a fairer, better New Zealand," said Ardern.
The move marks the end of nearly a decade of National governments and pushed the New Zealand dollar more than one percent lower, to a near 4-1/2 month low, as markets feared a change in government and generally more protectionist policies.
Ardern will become New Zealand's third female prime minister and its youngest leader in recent years.
The 37-year-old Ardern almost single-handedly brought Labour to government after taking over its leadership in August. Before then, the election had been widely considered a slam-dunk for the incumbent National Party.
Ardern's rapid rise in popularity and charisma has drawn comparisons with other youthful and global leaders like Canada's Justin Trudeau and France's Emmanuel Macron.