Australian Prime Minister Tony Abbott said he wants Indonesia's newly sworn President Joko "Jokowi" Widodo to succeed, Indonesia's Antara news agency reported.

"President Jokowi now takes office with enormous goodwill - in his own country and in ours," said Abbott at the inauguration of Joko as Indonesia's seventh president at the parliament building here Monday.

"A strong, prospering, democratic Indonesia has so much to offer the world," he said.

Abbott said he looked forward to meeting Joko on Tuesday and to strengthen Australia's relationship with Indonesia, which he described as his country's "most important neighbour".

"The transition to a new administration highlights Indonesia's successful move to a popularly elected democracy," he said in a message posted on the prime minister's official website.

The prime minister reiterated that Australia's foreign policy needs a "Jakarta" focus rather than a "Geneva" one.

"As prime minister, my first overseas visit was to Jakarta and this is my fourth visit to Indonesia. I will visit many more times because this relationship is fundamental to Australia," he said.

Joko replaces Susilo Bambang Yudhoyono.