In his annual Closing the Gap speech to parliament on Thursday, Anthony Albanese said the government was still determined to meet the targets addressing disparity between Indigenous and non-Indigenous Australians.
"We are clear about where there is more to do. We must also guard against talk of failure," he told parliament.
"Talk of failure dismisses the aspirations and achievements of Indigenous Australians.Â
"Failure is a word for those who have stopped trying, or given up listening. I make this clear today: I am not contemplating failure. Our government is not contemplating failure. We are determined to succeed."
Of the 19 Closing the Gap targets, four are on track to be completed, with a further six improving.
It's also expected targets of 95 per cent of Indigenous children being enrolled in preschool will be reached by the end of the year.
The federal government is five years into the 10-year targets, with a deadline of 2031 set.
Mr Albanese also used the speech to announced a $144 million boost to Indigenous health to upgrade more than 100 services in cities and regional areas.
The prime minister said addressing heath outcomes was critical in improving multiple closing the gap outcomes.
"Many of these clinics had not seen a dollar of new investment for decades," he said.
"All levels of government will work together to see this funding deliver a change in outcomes."
Mr Albanese also announced plans to reduce prices on essential items at all remote grocery stores in Indigenous communities, following a successful trial.
Prices on 30 items like flour, cereal and toothpaste would be in line with those in the city across 225 remote stores.
"We all know what it means to be able to put healthy food on the table.The difference it makes for mums expecting a baby, for a child's health and growth, even for their ability to concentrate at school," Mr Albanese said.
Coalition of Peaks acting lead convenor Scott Wilson welcomed the announcements to address Indigenous health outcomes.
"These are important steps towards closing the gap and all governments must continue to support the work of Aboriginal community-controlled organisations nationally in ensuring adequate services and resources are delivered to remote communities all over Australia," he said.
"Closing the gap requires genuine partnership, it requires sustainable funding for our organisations, a transformation of the way governments work with Aboriginal and Torres Strait Islander people."
Opposition Leader Sussan Ley said the results of the closing the gap targets not being on track to being met should not be accepted.
"These are not abstract statistics. They represent lives shaped by disrupted schooling, unsafe housing, and contact with systems that too often intervene late rather than support early," she said.
"Closing the gap must never become a box-ticking exercise or an annual ritual in (parliament). It is a national obligation that demands seriousness, discipline and long-term focus."
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