Australia and Malaysia seal refugee swap

Australia and Malaysia have signed a controversial asylum-seeker swap deal today in Kuala Lumpur.

The deal means Australia will send 800 asylum seekers to Malaysia and accept 4,000 verified refugees in return.

According to the ABC, the agreement document says Australia will pay for all costs associated with deal including transport, welfare, health and education.

The swap deal was first announced by Prime Minister Julia Gillard and Immigration Minister Chris Bowen nearly three months ago but provoked concern among refugee and human rights groups over Malaysia’s record of dealing with asylum seekers.

The document says asylum seekers will be treated with "dignity and respect" and "human rights standards", although it does not spell out if the standards will be in accordance with UN refugee conventions.

According to AAP, rights groups are concerned about the treatment of about 93,000 refugees now living in Malaysia, which has not signed the U.N. Convention on Refugees.

Most of the refugees now in Malaysia are Myanmarese people who fled persecution in their country. They are banned from working or going to school, but many do so illegally, facing detention and whippings with a cane if they are caught.

The Australian newspaper says asylum-seekers sent to Malaysia will be held in detention for 45 days before being released with special ID cards allowing them to work.

The government hopes to send new arrivals to Malaysia within 72 hours of interception.

Malaysian Home Minister Hishammuddin Hussein and Australian Immigration Minister Chris Bowen signed the agreement at a Kuala Lumpur hotel, where activists gathered to protest the plan.