New Zealand has named its first-ever Indigenous woman Minister of Foreign Affairs.

Prime Minister Jacinda Ardern appointed Nanaia Mahuta as her government's newest minister -joining what is now one of the most diverse parliaments in the world.

Mahuta became one of the country's 16 Maori ministers - contributing to a diverse parliament that includes a member of African origin, a member of Sri Lankan origin and several members from the LGBTQ community.

"I'm absolutely privileged to be able to lead the conversation in the foreign affairs space because what we know more than ever before in a COVID context is that as a small country we need to develop our relationships, remain committed to a multilateral, rules based trade system that works for New Zealand," she said

Ardern also brought in her right-hand man, Grant Robertson as deputy leader. He is the first openly gay man in the role.

The country, which has a population of 4.8 million, has 120 elected members of parliament. Close to half of those members are women while 10% are openly gay, lesbian, bisexual or transgender.

"I am excited by this team. They bring experience from the ground and from within politics. But they also represent renewal and reflect the New Zealand we live in," Ardern said during the appointment of the members of parliament.

Mahuta has 25 years in politics - including prominent roles in civic groups and government agencies. Her most recent role was as the Minister for Maori Development and Local Government.

New Zealand's parliament has also shifted gears in bringing in younger members. Many of the new members are millennials.

Ardern herself was the country's youngest female head of government after she became its 40th prime minister in 2017 aged 37. Ardern won her second term last month in a landslide which she attributed to her government's successful response to the global pandemic.

Former governments mostly consisted of older, male and white members. Most members also retained their positions for long periods - preventing new and younger members from taking over.

Professor Paul Spoonley of the College of Humanities and Social Sciences at Massey University said the country's new government is the most diverse.