Australia's population will hit a record 25 million Tuesday, almost a decade earlier than projected, as it attracts hundreds of thousands of migrants each year, latest government data shows.

Every minute, one person arrives to live in Australia, the data shows, underpinning demand for everything from homes to cars, schools and hospitals, and boosting the country's economic fortunes.

The Australian Bureau of Statistics estimates the population will reach 26 million in three years' time based on current trends.