Prime Minister Anthony Albanese has strengthened Australia's strategic presence in the Pacific by signing major new agreements with Fiji during a regional diplomatic tour.

The centrepiece of the visit was the Ocean of Peace Alliance, alongside an updated Vuvale Union partnership, which expands defence cooperation and commits both countries to consult and respond to security threats affecting either nation or the wider Pacific region.

Australia will invest more than $1 billion over the next decade to support the partnership, funding initiatives focused on transnational crime prevention, education, healthcare and infrastructure in Fiji.

The agreements reinforce Fiji's position as one of Australia's closest security partners and form part of Canberra's broader effort to deepen relationships with Pacific Island nations.

The announcement comes as China confirmed it had conducted a submarine-launched ballistic missile test in the Pacific, highlighting the increasing strategic competition across the region.

Analysts quoted in the report argue Australia has been successful in building long-term partnerships by responding to the priorities of Pacific nations, although they warn maintaining those relationships will become increasingly important as China seeks to expand its influence.

While Beijing has secured a significant security agreement with the Solomon Islands, experts believe Australia retains stronger defence ties across much of the Pacific through agreements with countries including Papua New Guinea, Vanuatu, Tuvalu and Nauru.

Albanese's regional tour will continue with meetings in the Solomon Islands, Papua New Guinea and Tonga before concluding in Melbourne, where he is expected to meet Indian Prime Minister Narendra Modi to discuss expanded defence cooperation and arrangements supporting Australian uranium exports for India's growing nuclear energy sector.