US Secretary of State Hillary Clinton said that the South Pacific was big enough for both the US and China but urged the Asian power to distribute its growing aid fairly.

Clinton vowed the US would remain committed to the South Pacific “for the long haul” and offered new aid as she became the first US Secretary of State to take part in an annual summit in the vast but sparsely populated region.

Her visit comes as several island states forge closer ties with China, which according to Australia’s Lowy Institute has pledged over $600 million (€477m) in low-interest and mostly strings-free loans to the South Pacific since 2005.

Clinton, who will visit Beijing next week for talks on the often fractious relationship between the world’s two largest economies, played down rivalries in the South Pacific during the summit in the tiny Cook Islands.

“We think it is important for the Pacific island nations to have good relationships with as many partners as possible and that includes China and the United States,” Clinton told reporters.

Amid criticism that China’s open wallet has undermined international pressure for democracy in Fiji and other nations, Clinton said: “Here in the Pacific, we want to see China act in a fair and transparent way.”

Clinton, in an address to the 15-nation Pacific Islands Forum, said all nations had “important contributions and stakes” in the security and prosperity of the region.

“I think, after all, the Pacific is big enough for all of us,” she said, in a line she used repeatedly during her visit.