'I am quite satisfied that Australian government and state government are very very clear so far what kind of relations they want with India and they want very positive and cordial relationship,' Krishna said.

'I am satisfied with the assurances give to me by Australian Prime Minister Kevin Rudd.

'Prime Minister Rudd is fully aware of the sensitivity of the issues concerning students. He informed about the remedial measures already taken by the government,' Krishna said.

'Rudd described India as an emerging power and I am convinced that Indian students coming here will be safe and taken care of,' Krishna said.

Krishna met New South Wales Premier Nathan Rees Thursday in Sydney. Rees had also assured Krishna that 'firm action' would be taken against those responsible for attacks on Indian students.

At least 22 Indian students have been the victim of allegedly racist attacks, creating an outrage in India and the diaspora community Down Under.

To strengthen relations with India, the Rudd government has given more than $8 million to fund a new Australia India Institute at the University of Melbourne.

Deputy Prime Minister Julia Gillard, the education minister, said the centre would 'aim to strengthen and sustain bilateral relationships'.

'As the world's largest democracy and a key emerging economy, India is redefining its role in international affairs and its influence in our region and globally is growing,' she was quoted as saying.