Immigration Minister Chris Bowen says the government's refugee swap deal with Malaysia has helped cut the number of asylum seekers arriving by boat in Australian waters.
He says the Malaysian deal is making asylum seekers think twice about risking dangerous boat journeys when there's no guarantee of resettlement in Australia.
"We've seen a very significant reduction in the number of boat arrivals this year and since the announcement of the agreement with Malaysia," Mr Bowen told reporters in Perth on Tuesday.
"I don't say that the announcement of the agreement with Malaysia is entirely responsible.
"But I think it changes the dynamic completely to have people weighing the decision up whether to take that dangerous boat journey to Australia with no guarantee of being processed or resettled in Australia.
"Of course, we will continue to see boats arrive, we will continue to see the people smugglers trying it on, testing the resolve of the Australian government and the Australian people."
Mr Bowen said he wanted to "pull the rug out" from the people smugglers' business model and advertising campaign to sell resettlement in Australia.
But opposition immigration spokesman Scott Morrison said there were 407 detainees on Christmas Island who had turned up in boats since the Malaysian solution was flagged as imminent three months ago.
"It's still imminent and it seems to be imminent for an eternity.
"I don't think Minister Bowen can count his chickens yet. Whether it stops the boats or not, we'll wait and see."
Mr Morrison said the Malaysian solution showed the government recognised its policies had led to more than 11,600 people turn up on over 230 boats in the last few years.
He said the coalition advocated bringing back the Pacific Solution devised by the Howard government.
"This cobbled-together arrangement with Malaysia will be a stain, I think, when it comes to the conditions that those 800 people who will be sent to Malaysia will live in.
"I don't think it's something Australians will feel comfortable about."
Mr Bowen said discussions on the Malaysian arrangements were at a very advanced stage with the Malaysian government and the United Nations.
"I look forward to being able to say more about that in the not-too-distant future," he said.
Under the deal, Australia will transfer 800 people to Malaysia where they will be processed by the United Nations High Commissioner for Refugees.
In turn, Australia will take 4000 people who have been mandated by the UNHCR in Malaysia and been waiting for resettlement.