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Published 16:19 24 Jun 2018 BST
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"When we met her we thought she looked like she suited the name," she said.
"Also it means, in various forms, bright and radiant and snow, which seemed like a good combination for Matariki (Maori new year) and for solstice."
Te Aroha is the name of a mountain in New Zealand.
The couple welcomed Neve, their first child, on Thursday, announcing the news on Instagram.
"Welcome to our village wee one," Ardern wrote in the caption.
"Feeling very lucky to have a healthy baby girl that arrived at 4.45pm weighing 3.31kg (7.3lb)."
She is thought to be the second elected leader in modern history who has given brith while holding office.
Earlier this year she announced that she would be taking a six-week maternity leave after giving birth and that her partner would then stay at home with baby.
"Clarke and I are privileged to be in the position where Clarke can stay home to be our primary caregiver.
"Knowing that so many parents juggle the care of their new babies, we consider ourselves to be very lucky."
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