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International relations

Papua New Guinea's premier faces balancing act between Australia, China

Budget woes continue as economy hit hard by sagging resource prices

SYDNEY -- Papua New Guinea's prime minister and his party will likely retain their ruling status in the upcoming general election. But even if they win, they will continue to face a balancing act as they try to please rivals China and Australia, whose support the country desperately needs in reining in a snowballing budget deficit.

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