Australia Secures Veto Power Over Nauru's Deals to Counter China's Influence

A new $140 million treaty gives Australia control over Nauru's security and infrastructure partnerships while bolstering the Pacific nation's economy and banking sector.

• Australia and Nauru signed a treaty granting Australia the right to approve or veto Nauru's security, banking, and telecommunications agreements with third countries, including China.
• The deal includes $140 million in Australian funding over five years, with $100 million allocated for budget support and $40 million for policing and security enhancements.
• The treaty ensures the Commonwealth Bank of Australia will establish operations in Nauru, addressing concerns about the island's banking future after Bendigo Bank's planned exit.
• This agreement follows similar arrangements Australia made with Tuvalu and reflects Canberra's strategy to curb China's growing influence in the Pacific region.
• Nauru's President David Adeang called the treaty a 'historic milestone' for economic resilience and mutual security, though concerns about its impact on Nauru's sovereignty remain.

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