The Government is considering joining an international agreement which would make posting racist messages online illegal.
As part of a plan to crack down on international crime, the Government may sign the Council of Europe's Convention on Cybercrime, which would make racist or xenophobic comments on the internet illegal.
It also means denial or justification of the Holocaust would be against the law.
Yesterday's announced crack down on organised crime by Justice Minister Simon Power and Police Minister Judith Collins included signing the convention.
Forty-six nations have signed the agreement, but 16 are yet to ratify it into law, including the UK and Ireland.
Race relations conciliator Joris de Bres says online forums provide an easy outlet for racial slurs because they are so often anonymous.
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