Prime Minister John Howard led a flood of tributes to Freeman, whose emotional gold medal at the 2000 Sydney Olympics remains a source of national pride.

Howard, who is in Japan, told reporters: "Her victory in the 400 (metres) at the Sydney Olympics was one of the great sporting events of our generation.

"I think she's been a wonderful Australian and is a wonderful Australian. I don't think there could be any greater accolade for anybody."

Federal Opposition leader Simon Crean said Freeman, who became a potent symbol of the struggle for reconciliation between black and white Australians, could have a future in politics if she wanted.

"I think that she is a person committed to reconciliation in this country and using her sport and her presence to advance that cause," Crean told reporters in Melbourne.

ROLE MODEL

"Anyone who can do that has clearly got a future in politics if they choose to pursue it."

John Coates, the Australian Olympic Committee president who helped select Freeman to light the cauldron at the Sydney Games, said the athlete was a role model for everyone.

"We acknowledge the great contribution that she's made to her sport, the Olympic movement in this country and, of course, the success of the Sydney Olympic Games," Coates said.

"She is truly a great Olympic champion and has always been a wonderful role model."

Australian swimming great Dawn Fraser said Freeman deserved to be remembered as one of the country's finest athletes.

"You would compare her with the greats of athletics like the Betty Cuthberts and the Marjorie Jacksons and the Shirley Strickland," Fraser said.

Former athlete Ron Clarke said Freeman had made the right decision to quit after losing her motivation.

"Once that diminishes, then your performance on the track never reaches its own heights. Once you're used to the same heights then it's impossible to put up with second best," Clarke said.