The Panama Papers saga has pinpointed New Zealand as a hub for secretive use of shelf companies, with much of the hidden wealth being derived from wealthy Latin Americans.

Mossack Fonseca, the Panama based law firm under scrutiny, allegedly promoted New Zealand as a favourable place to do business die to its tax-free status, confidentiality and legal security – according to a report by Radio New Zealand, TVNZ and investigative journalist Nicky Hager.

Prime Minister John Key is being pressured by local media to take action, however he said that it was "utterly incorrect" that New Zealand was a tax haven, and said that he was open to changing rules around foreign trusts if advised by a review or the OECD.