The United Nations chief said he had concerns about Australia's treatment of asylum seekers while praising it as a model country for its record on humanitarian issues.
UN Secretary General Ban Ki-moon said Australia was a guide for many nations in serving the goals of the New York-based organisation.
Mr Ban met Prime Minister Julia Gillard in Canberra where they discussed the UN missions in Afghanistan and East Timor, developments in Libya, the Horn of Africa crisis, climate change and sustainable development.
"Australia is one of the model countries in many areas for which the United Nations is promoting peace and security, development and human rights," Mr Ban told reporters on Saturday.
"Of course there are some concerns on how to deal with immigrants, asylum seekers and refugees."
He commended Australia's endorsement of the UN's declaration on the rights of indigenous peoples.
Australia endorsed the UN declaration in March 2009 after originally opposing it two years earlier.
"I hope the Australian government under the prime minister will translate all these principles and endorsements on the rights on indigenous people into policies, into real actions," he said.
Mr Ban said Australia was one of the UN's "strongest supporters", with the nation leading by example in pursuing the common interests of the international community.
"You may be known as Down Under, but when it comes to contribution and commitment, you are well above and beyond."
Ms Gillard announced Australia would donate an extra $10 million to the humanitarian crisis in the Horn of Africa.
"This brings the assistance from Australia for this crisis to almost $100 million," she said.
Mr Ban was effusive about Australia's efforts to boost foreign aid when many nations were looking at austerity measures, particularly its efforts for the Horn of Africa crisis.
"On foreign aid, Australia is increasing cooperation at a time when too many countries are pulling back," he said.
"... I think you are number fourth strongest supporter to this Horn of Africa crisis."
Australia would also provide up to 25 Australian Defence Force and 10 Australian Federal Police personnel to the new UN peacekeeping mission in South Sudan, Ms Gillard said.
She said Australia would continue its bid for a temporary seat on the United Nations Security Council for two years from 2013.
"We believe Australia's voice should be heard."
Mr Ban wished Australia well in its bid, which was commenced by former Prime Minister Kevin Rudd.
Mr Rudd received a visit from the UN chief at his home in Canberra before Mr Ban met the prime minister.
"Secretary General and I focused on Libya, Syria, Horn of Africa and environmental sustainability," Mr Rudd said via social media site Twitter on Saturday."