The Australian government signed a deal with Cambodia, promising $35m in aid for accepting some of its rejected asylum seekers.
Immigration Minister Scott Morrison met with Cambodia's Interior Minister Sar Kheng on Friday to finalise the agreement, which will see the money paid out over the next four years.
Morrison had earlier said the deal "enables us to fulfil on the policy which says no-one will be resettled in Australia".
In a joint statement, the countries said they agreed on an "initial trial arrangement with a small group of refugees", followed by further resettlement according to Cambodia's capacity.
The deal has been slammed by human rights groups, who say refugees will not be cared for appropriately in Cambodia.
Amnesty International has said the deal was a "new low in Australia's deplorable and inhumane treatment of asylum seekers".
It accused officials of "putting the short-term political interests of the Australian government ahead of the protection of some of the world's most vulnerable people".