Australia yesterday was investigating whether Nauru breached a security treaty by inking a lucrative business deal with a Chinese company.
Nauru last week announced it had signed a US$650 million economic development agreement with China Rural Revitalization and Development Corp.
Australian Minister for Pacific Island Affairs Pat Conroy said officials were looking into whether that deal complied with a security pact between Canberra and Nauru.
Photo: AFP
Australia “is engaging with the government of Nauru about whether it activates parts of our treaty,” Conroy told reporters. “That is a really important treaty for us — that helps position us as a security partner of choice with Nauru.”
Australia and Nauru announced a landmark security treaty in December last year, advancing Canberra’s aim of blunting China’s growing regional influence.
Under the deal, Nauru must seek Australia’s agreement before it signs any bilateral accords on maritime security, defense and policing.
Nauru also agreed to consult Australia if other parties look to strike agreements granting them access to critical infrastructure, such as ports and airfields or its banking sector. In return, Nauru receives tens of millions of dollars to prop up its government budget and bolster its stretched police force.
Nauru last year surprised many when it abruptly severed diplomatic ties with Taiwan in favor of Beijing.
Nauruan Minister of Foreign Affairs and Trade Lionel Aingimea traveled to Beijing to sign the business deal last week.
China Rural Revitalization and Development Corp agreed to invest in key sectors such as agriculture and fisheries, a Nauruan government statement said.
Nauru, population 12,500, is one of the world’s smallest nations with a mainland measuring just 20km2. It is considered especially vulnerable to climate change.
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