Australia Labour Party Leader, Kevin Rudd has been sworn in as Australian's 26th Prime Minister at Government House in Canberra, alongside his Deputy Julia Gillard.

They took the oath of office in a small ceremony presided over by the Governor General and Major General Michael Jeffrey.

Rudd's wife Therese Rein and three children were present at the short event.

Meanwhile, the new Australian Parliament Secretary to the Pacific, Duncan Kerr said the new government wants Fiji to return to democratic rule, but the approach they will make will be different from the outgoing Howard government.

Speaking to ABC Pacific Beat, Kerr said the new government wants to rebuild the strained relationship with some Pacific island governments.