Australia promises $250m to Solomon Islands as Canberra sees China’s growing influence in region

Australia will fund a $250 million (US$173 million) grants program for the Solomon Islands, Prime Minister Scott Morrison said on Monday, as Canberra confronts a growing Chinese influence in the region.

Morrison, in his first overseas trip since re-election two weeks ago, unveiled the package amid talks with Solomons PM Manasseh Sogavare.

It came in a three-pronged Canberra initiative with Defense Minister Linda Reynolds and Foreign Affairs Minister Marise Payne highlighting Australia’s push for “economic security” in the region, AFP reports.

The grants program, to cover a range of projects over 10 years, is designed to allow the Solomons to finance urgently-required infrastructure work. The Solomons is one of a handful of nations that still recognize Taipei rather than Beijing.