Deal could mean asylum seekers are processed in Cambodia

ASYLUM seekers held in Australia's offshore detention network could soon be resettled in one of Asia's poorest nations, Cambodia, after a deal was reached between Australia and the nation.

After speculation about a potential deal in recent weeks, Fairfax today reported that senior figures in Cambodia's government had confirmed it.

The report said a deal had been reached "in principle" with the Australian Government, although the government has not confirmed whether or not arrangements had been made.

It has raised the ire of some refugee advocate groups, who had questioned Cambodia's human rights record and its economic capacity to support extra asylum seekers.