Australia's global integrity ranking has risen after the Albanese government passed laws to set up a national anti-corruption watchdog.
The annual Corruption Perceptions Index released by Transparency International has registered a two-point increase for Australia to 75.
The score put Australia in 13th place and ended 10 years of "democratic backsliding", the independent association said on Tuesday.
Whistleblower expert Professor "AJ" Brown said Australia's reputation may be fully restored once the world witnessed the National Anti-Corruption Commission actually perform and if reforms reached beyond the public sector.
"This needs to start with a comprehensive approach to whistleblower protection, including a whistleblower authority, and ending our role as a safe haven for corrupt actors across the region and the world," Prof Brown said.
Last year Australia received its worst score (73) and slipped to 18th place among 180 countries and territories in the survey.
The index uses a scale from 100 for "very clean", to zero for "highly corrupt".
Australia still lags Denmark (90), which knocked New Zealand (87) off the top spot this year.
But an improved Australia beat United Kingdom (73) and the United States (69). China scored 45.
Countries with well-functioning democracies score highly, while countries at war or where basic personal and political freedoms are highly restricted tend to earn the lowest marks.
To further restore trust in Australia, the federal government should introduce caps and real time disclosure of political donations and spending, Transparency International Australia CEO Clancy Moore said.
"We also need stronger laws to stop corrupt officials, criminals and business people laundering money and hiding their abuses of power, through poker machines, casinos and real estate," he said.
A score below 50 - more than two thirds of countries in this year's survey - indicates a serious integrity problem.
Fiji (53) dropped two points after attacks on the free press, while Papua New Guinea scored just 30 after the country's "worst ever election" with stolen ballot boxes and bouts of violence, Transparency International said.
Pacific leaders have a renewed focus on anti-corruption efforts, but in Asia, they have focused on economic recovery at the expense of other priorities, the report said.
The bottom countries again are Somalia (12), Syria (13) and South Sudan (13).
