WELLINGTON (BLOOMBERG) - A boat off the north-east coast of New Zealand's North Island caught fire on Monday (Jan 18) and all 57 passengers and crew were rescued, police said.

People were forced to jump into the water as the blaze took hold, the police said in a statement.

Two people were taken to hospital, one suffering from smoke inhalation and another with injuries caused by jumping from the boat.

The boat caught fire about a kilometre off the coast at Whakatane, a city in the Bay of Plenty, with flames visible from shore.

A coastguard boat and other local vessels assisted in rescuing people from the water, the police said.