Foreign Minister Bob Carr signed a memorandum of understanding in Beijing yesterday which opens the way for Australia and China to deliver aid together in the Asia-Pacific.
Senator Carr said the Australia-China Development Cooperation Memorandum of Understanding, only the second such agreement signed by China, broadens Australia's engagement with China in the region.
He signed the memorandum with Chinese Minister of Commerce H.E Gao Hucheng.
"Under this agreement, Australia and China will cooperate on aid initiatives including regional health issues, such as malaria and HIV/AIDS, and on water resource management," Senator Carr said.
"This partnership commits Australia and China to work together to deliver foreign aid through sharing our experiences and more effectively targeting aid to poor communities across the region.
"China, once a recipient of Australian aid, will now partner with Australia to deliver aid in the region.
"The first initiative under the new partnership will be a pilot investigation into drug resistant malaria in Papua New Guinea and new ways of responding to the problem.
"The pilot will commence this month."
In acknowledgment of China's strong and sustained economic growth, the Australian Government announced in 2011 it would phase out its bilateral aid program to China by June 2013.
Under the MOU, joint aid Initiatives will be agreed on a case-by-case basis.
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