Aboriginal leader and member of the National Indigenous Council Warren Mundine says it is time radical changes are made to the way Indigenous affairs are handled.

Today the Prime Minister welcomed moves by leaders Pat Dodson and Noel Pearson to back the principal of mutual obligation on Indigenous issues, a move also supported by Mr Mundine.

Mr Mundine says that in the past, focusing on the 'sorry' debate has allowed practical issues like poverty and poor health slip by the wayside.

"We've really got to start revamping and making some radical changes to the way Aboriginal affairs is approached and the programs that happen within Aboriginal affairs," he said.

"We've got an opportunity now the Government's opened up dialogue, we've got the Aboriginal leadership out there now opening dialogue where we can really get to the real issues concerning our communities."