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A new arts plan will boost the amount of Australian music, art and film with the government putting Indigenous culture at the policy's centre.
The national cultural policy, Revive, will be used as a $286 million blueprint for the arts in Australia for the next five years.
The body will be in charge of funding artistic projects across a range of mediums at arm's length from the government.
Prime Minister Anthony Albanese pledged to make the arts accessible to everyone.
"The arts cannot be left simply to those who can afford to do it," he said at the launch of the policy in Melbourne.
"Doors must be opened so we can hear the great diversity of voices that have struggled to find an outlet."
There will also be minimum pay for artists contracted by government entities to perform at Australian government events and functions.
"But it's also important to lift yourself above your economic debate. This is about our soul, this is about our identity," the prime minister added.
Arts Minister Tony Burke says the new investment will help Australian artists reach an international audience and enable them to compete with overseas acts.
"People shifted from buying albums and CDs to streaming, international competition is just seamless now," he told ABC TV.
"It's really hard to make a living just off local streaming revenues. To be able to reach an international audience is critically part of that."
Quotas on Australian content on streaming services are also set to be on the agenda as part of the cultural policy.
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While the exact quota number is yet to be set, discussions will take place between the government and streamers before legislation locking in a target is introduced to parliament later this year.
"If you're watching free-to-air TV through your aerial, you've got Australian content guaranteed, but if you're watching it through the internet, there is zero guarantees," Mr Burke said.
"Those days have to come to an end."
The legislation will have a start date no later than July 1, 2024.
The government will establish a centre for arts and entertainment workplaces that will oversee whether workers in the arts were being paid fairly and in workplaces free from discrimination.
A new Indigenous-led body will also be set up.
Mr Albanese said Australia's First Nations communities were at the heart of the nation's cultural road map.
"That's why First Nations art has been put as the first pillar," he said.
"Just as we can learn about caring for our country, for our land and our waterways, from those who looked after this island continent for 65,000 years at least, we can learn as well from the way that they told their stories."
The policy will also introduce legislation to protect Indigenous knowledge and cultural expression, such as cracking down on fake Aboriginal art.
A new arts investment and advisory body known as Creative Australia will be set up, with $200 million going towards the organisation over the next four years.
A National Aboriginal Art Gallery in Alice Springs and an Aboriginal Cultural Centre in Perth will also be set up.