WELLINGTON, May 22 (Xinhua) -- The New Zealand government confirmed on Wednesday it has set up official targets to break the cycle of child poverty, one of New Zealand's most significant intergenerational well-being challenges.

"This is an important step in tackling head-on the long-term challenge of child poverty in New Zealand to make our country one of the best in which to be a child," Prime Minister and Minister for Child Poverty Reduction Jacinda Ardern said.

"The Coalition Government's plan will halve child poverty within a decade and establish New Zealand as one of the best performing countries for our kids. That's what New Zealanders expect from a country like ours," Ardern said.

A historic Child Poverty Reduction Act passed with cross-party support late last year and introduced the requirement for governments to report on rates of child poverty every year in the Budget and to set clear targets to reduce them.

The most recent child poverty data in New Zealand shows that about 250,000 children are in poverty on the after housing costs primary measure, which makes up 23 percent of New Zealand children.

The New Zealand government confirmed on Wednesday its three-year target, which aimed to lift 70,000 children out of poverty in low income households before housing costs.

"The Well-being Budget will continue to tackle the long-term challenge of lifting children out of poverty because it's the right thing to do for our communities and our economy," Ardern said.