Nauru's President, Ludiwg Scotty, said the Australian detention centres on the island could be cleared of the remaining boat people within two years.
Mr Scotty told the Australian Associated Press that while the 120 boat people in the detention centres would all leave, in the meantime they were enjoying life on Nauru.
He said that contrary to media reports, the asylum seekers were happy and were being well looked after, in contrast to local Nauruans, many of whom, he said, were desperate for food.
