Australia, Vanuatu sign delayed security deal that is seen as curbing China

Australia and Vanuatu on Monday signed a development and security pact that had been delayed for months over Vanuatu's concerns that it could stifle investment from other countries.



Australia, which is in a battle for influence in the Pacific with China, will be consulted on any third-party investment in Vanuatu's critical infrastructure and remain the country's preferred security and policing partner.



Canberra has previously unveiled funding of A$500 million over 10 years for the pact, known as the Nakamal Agreement.



"It encapsulates Vanuatu's sovereign decision not to permit its territory to be used for any foreign military base or infrastructure and that Vanuatu's critical infrastructure remains free from militarisation," Australian Prime Minister Anthony Albanese said at a news conference with his Vanuatu counterpart, Jotham Napat.



The agreement was to be signed in September, but was delayed after Napat said his coalition partner had raised concerns that it could restrict Vanuatu's ability to secure infrastructure funding from other countries.