Treasurer Joe Hockey said "history will be much kinder to Mr Fraser than many of his critics have been over the years".

"He was a very strong character who was not afraid to stand up for what was right. The Liberal Party will be mourning his passing. "

Former prime minister Julia Gillard said Fraser in and beyond politics was a leader in the fight for racial equality.

"His brave stance against the evil of South Africa's apartheid helped changed the world for the better. Malcolm will always be remembered kindly for his commitment to multiculturalism and his specific actions to resettle Vietnamese boat people in Australia," she said.

Greens leader Christine Milne said Fraser had "compassion and dedication to building a thriving and peaceful multicultural society".

"Malcolm Fraser's memory will never be free of the controversy and turmoil of the dismissal of the Whitlam government. But then and also in later years he courageously offered leadership in social justice and provided a vision for an Australia that truly embraced a fair go for everyone including refugees.

"Malcolm Fraser's leadership in embracing refugees from war torn Vietnam made Australia a better place."