Teina Pora will be paid over $2 million in compensation for his 21 years of wrongful imprisonment.
Newshub has learned Cabinet signed off the payment and will make the announcement tomorrow.
Mr Pora was wrongly convicted of the rape and murder of Susan Burdett.
The payment will be the highest ever, with Arthur Allan Thomas getting $1 million.
Mr Pora was convicted in 1994 of the 1992 rape and murder of Susan Burdett, who was bludgeoned to death with a baseball bat in her South Auckland home.
New evidence presented to the Privy Council showed Mr Pora suffered from foetal alcohol syndrome that made his confession, which was key to his original conviction, unsafe.
Government guidelines estimated about $100,000 compensation per year of wrongful incarceration.
Police Commissioner Mike Bush said last year that police would not reopen the case into Ms Burdett's murder without fresh evidence.
Serial rapist Malcolm Rewa is serving a life sentence for the rape of Ms Burdett and others, and was in 1992 accused of murdering her.
Two separate juries could not agree if Rewa was guilty of murder.