Mutuma Ruteere is the United Nations' special rapporteur on contemporary forms of racism, racial discrimination, xenophobia and related intolerance.
He spent a week in Australia, meeting with people in various cities across the land.
He says he is impressed with the diversity of the Australian people and impressed overall with a government largely committed to multiculturalism.
"Australia continues to receive a high number of migrants every year under the skilled-labour scheme as well as resettlement of recognised refugees from war-torn countries and offers commendable resources and programs at various levels for their integration so that they can settle into their new communities as smoothly as possible."
Mr Ruteere says that is reflected in the fact one out of two Australians is either born overseas or has a parent born outside the country.
But despite praising that commitment, the UN official says racism in Australia is widespread.
"I've been made aware that xenophobic hate speech has been on the rise, leading to the creation of a negative perception of migrants, particularly Muslims and persons of African descent."
On the streets of Sydney, some newly arrived migrants and second or third generation Australians say it is not a problem they encounter.
"I've been living around here for nearly 30 years but I haven't had any experience of very strong racism."
"I've had pretty good experiences with Australians. I find that they're really kind of friendly, but ... Personally, I haven't had any racial experiences or encounters."
"I don't feel like they're racist towards us. I feel like they treat us as the same. As long as we speak English at a certain level, then we don't get any racist comments or anything."
But Dr Naomi Priest, a senior reseacher in the Centre for Social Research and Methods at the Australian National University, says racism is a complex matter.
She says, while sometimes expressed openly, it can also be subconscious.
"The individual who's perpetuating it might not even be aware that it's happening, right? But, certainly, what we know from a lot of the evidence is that, yes, if you're more visibly different or you might have an accent or struggle to speak English well or look more visibly different, then, yes, you might be more likely to be targeted by some of those more explicit racial events, which are often the ones we hear about in the media."
Although careful not to name names, the United Nations special rapporteur has highlighted remarks by some politicians about newly arrived migrants.
Mr Ruteere points, in particular, to comments against Muslims and is calling on political leaders to denounce divisive language.
"I note with concern that some populist politicians, cheered on by sections of mainstream media, continue to stereotype and fan hostility against certain categories of migrants. I call upon mainstream political leaders to denounce and censure this kind of divisive and racist rhetoric, particularly when made by members of their own political parties."
He says in his assessment, if political leaders do not speak out, they legitimise the racist sections of society.
Mr Ruteere has also addressed the society Indigenous Australians face, recommending a re-examination of the criminal-justice system.
He encourages all levels of government to embrace alternatives to detention and avoid mandatory sentences.
"The current policing of Indigenous communities is too punitive and needs an urgent change, as its consequences can only lead to even further devastation of these communities."
Mr Ruteere has warned against changes to section 18C of the Racial Discrimination Act.
He says it would open the way to xenophobic hate speech, which he says the act has limited up to now.
He also cautions against attacks on Human Rights Commission president Gillian Triggs, saying the commission has done exemplary work under her guidance.