Australia is holding a memorial service to mark the anniversary of the Malaysian jetliner that was shot down over eastern Ukraine.

There were 38 Australian citizens and permanent residents among the 298 people on Malaysia Airlines Flight 17. Everyone on board was killed.

Australian Prime Minister Tony Abbott on Friday unveiled a permanent memorial to the victims in the nation's capital, Canberra. The memorial features a plaque inscribed with the names of the Australians on board.

Family members of several of the victims attended the ceremony. Many cried as they placed flowers at the base of the plaque.

The plane was heading from Amsterdam to Kuala Lumpur when it was shot down over war-ravaged eastern Ukraine. Ukraine has blamed Russian-backed separatist rebels, while Moscow blames Ukraine.