The Federal Minister for Indigenous Affairs, Philip Ruddock, says more Aboriginal leaders need to be willing to embrace change so their communities can get past what some suggest is a sense of victimhood.

Mr Ruddock outlined a five-point plan for change at an ATSIC national policy conference in Canberra.

It includes shifting policies away from Aboriginal communities towards individuals and improving health outcomes.

Mr Ruddock acknowledged a new generation of Aboriginal leaders but said there was still a long way to go.

"The issues I have outlined so far serve to highlight the need for indigenous leaders who are prepared to take on the hard debates - not simply in terms of advocacy for their people but just as importantly as advocates to their people - those who are prepared to call it like it is," Mr Ruddock said.