New Zealand has passed legislation allowing its main intelligence agency to spy on residents and citizens.

Parliament voted 61 to 59 on Wednesday to expand the powers of the Government Communications Security Bureau (GCSB).

GCSB was only previously allowed to spy on those with no right to reside in New Zealand.

The new legislation follows a row over the GCSB's surveillance of internet mogul Kim Dotcom, a German national with New Zealand residency.

GCSB worked with US officials to investigate Mr Dotcom over allegations of online piracy and money laundering. Mr Dotcom, who denied the charges, is fighting extradition to the US.

The case prompted an apology from Prime Minister John Key to Mr Dotcom last year.

In March, a court ruled that Kim Dotcom could sue the GCSB for illegally spying on him.

I hope New Zealanders realise what their reps have let them in for.