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Australia Defence and Security Report Q4 2011
Business Monitor International, Sep 2011, Pages: 84
Australia’s prominent role in the South Pacific region remains important but local foreign policy has been somewhat neglected with so much of Australia’s attention focused on their economy. Towards the end of the year, however, it will host a number of significant diplomatic talks, such as the Commonwealth Heads of Government meeting in September. Despite the slow progress of late, the country remains a very significant regional power and maintains one of the strongest diplomatic positions in the world. It is pursuing various diplomatic agreements with its less-developed neighbours and serves as a conduit for regional trade and development. With its positive diplomatic ties to almost every nation in Asia and Oceania, close partnerships with the US and Europe and an active participation in UN dialogues and initiatives, Australia is likely to play a larger role in world affairs as time goes on, especially for a nation with such a modest population.
Australia enjoys a very strong position in terms of safety and security and remains a quite significant regional power. Good diplomatic and economic ties with its neighbours have provided a regional platform to coordinate and control efforts to combat piracy and illegal immigration. The expansion of Australia’s navy will further enhance its military advantage relative to potential competitors; however, the country’s excellent diplomatic standings throughout the world raise questions about purpose of such a military.
More pressing, perhaps, is the tensions between the defence minister and the Australian Defence Force. Widespread misconduct was reported by the media, amounting to a scandal.
This ultimately led to further questions about a culture of protectionism among Australia’s officers, prompting the defence minister to initiate a series of investigations and reform processes. Additionally, military contracts are often poorly handled by Defence Materiel Organisation, leading to waste and oversights. The completion of investigations and inquiries will undoubtedly lead to various reforms in the Australian Defence Force, particularly to increase accountability and transparency.
Of note is a development in Australia’s new deal with Malaysia to combat illegal immigration. The highly controversial deal involved sending 800 unconfirmed asylum seekers who had illegally travelled to Australia back to Malaysia, where they would be processed. On the other hand, it would see 4000 additional confirmed refugees accepted into Australia from Malaysia. A mere 12 hours before the first transfer was set to take place, a high court challenge was raised and the government was ordered to suspend the transfer until the High Court settled the case. The arrangement had received scalding coverage from both sides of the political spectrum and the media, it received a strong condemnation from the Australian Human Rights Commission and the High Commissioner for the UN Human Rights group.
It also inspired many petitions and campaigns. However, the government claims it has strong legal ground Australia’s economy, along with global markets, has seen sharp dips and rises as both the US debt crisis was postponed and the ongoing EU financial troubles were, more or less, mitigated. More locally, the high dollar has seen exports crash and the high interest rates have kept consumer confidence quite low, these contrast with record profits being achieved by Australia’s mining companies.
Australia has good economic ties with China and this market has provided stability while other trade contracts may have fluctuated. Income from taxation of mining profit remains a matter of political debate. Exports, however, have been harmed by the strong market.
Military procurements and defence spending continue to be a matter of debate within Australia, a peaceful country with no nearby conflicts. It has been suggested that major defence expenditure is unsustainable and perhaps not necessary. However, recent governments have committed to a 3% real growth in the budget, and arranged for the purchase of three Destroyers with anti-ballistic missile capability. A fleet of 100 F 35 stealth strike fighters are also contracted, as well as 12 submarines. Despite some pressure to do otherwise, the Australian government is committed to maintaining defence increase, a fact confirmed by the 2011-2012 budget.
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