The prime minister confirmed Australia's refugee figure of 20,000 per year would not be reduced, despite earlier suggestions from within his own government to the contrary.
"The refugee intake needs to be renewed in the coming budget as the 20,000 places was available for four years," Mr Albanese said on Thursday.
"This intake number remains government policy and will be continued in future years, consistent with Australia's humanitarian commitments and sits beside our strong border security measures."
Migration forecasts currently factor in a 6250-person reduction in humanitarian placements from the beginning of the 27/28 financial year.
A 2023 decision to increase the intake to 20,000 is set to lapse and revert to 13,750 at the next federal budget.
A home affairs spokesman said earlier on Thursday a final decision had not been reached on whether current rates would be maintained.
Humanitarian advocates reacted to the comments with outrage, describing the move as being straight from Donald Trump's playbook.
For thousands of people overseas, the change will mean even more years of uncertainty and family separation, Settlement Services International chief executive Violet Roumeliotis told AAP.
"Behind every place cut is a family left waiting longer to be reunited with parents, children, siblings and loved ones they may not have seen for years," she said.
"These are people who have already endured conflict, persecution and displacement, and who are simply hoping for the chance to be together again."
The Asylum Seeker Resource Centre said it was deeply shocked and surprised by a possible cut, accusing the government of allowing far-right figures to dictate the terms of debate.
"The government has a critical choice before it - play into the far-right's hateful and divisive politics and follow them down a Trumpian path, or show strength and leadership by honouring its humanitarian commitments," deputy chief executive Jana Favero said.
Greens Senator David Shoebridge accused Labor of pandering to One Nation.
"We need a prime minister and a government not to surrender to some minor right-wing party in parliament, but to show leadership at once, and they are comprehensively failing that leadership," he told reporters.
The potential move comes a month after Labor's national conference, where delegates committed to a 20,000-place humanitarian intake, and to shoot for 27,000 a year.
Speaking at a regional summit, Anthony Albanese rejected the numbers marked a concession to One Nation, arguing that his government had started lowering numbers prior to the recent spike in support for One Nation.
The Labor caucus continues to debate its position on migration, leading Home Affairs Minister Tony Burke to pull out of a supposed migration announcement slated for a national address in early August.
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