Australia asylum panel recommends offshore processing
13 August 2012 Last updated at 16:59 BST
Australia should set up offshore processing centres for asylum seekers in Nauru and Papua New Guinea, and pursue a refugee agreement with Malaysia, a panel has recommended.
The three-strong independent panel was appointed by PM Julia Gillard to break government deadlock on the issue, but critics argue that offshore processing is "inhumane".
Duncan Kennedy reports.