you have to add your public key, usually ~/.ssh/id_rsa.pub, to ~/.ssh/authorized_keys on the remote machine.

Googling, I have found this page that explains all the required steps in detail.

If you are using the commercial version of ssh, the process is different but it is explained on the FAQ

In reply to Re^5: Trouble installing Net::SFTP by salva
in thread Trouble installing Net::SFTP by shilpam

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