At a gala dinner in Sydney marking the half-century milestone, Mr Abbott - who once worked as a journalist at The Australian - said the contemporary publication is "one of the world's very best".
And he wanted to "kill the urban myth" that News Corp papers were ciphers for boss Rupert Murdoch.
"The Australian has borne his ideals but not his fingerprints: it has been his gift to our nation," Mr Abbott told an audience which included past and present politicians, sporting greats and business leaders.
"Long ago The Australian found its authentic voice and that has helped governments and people to find theirs."
Mr Abbott said the newspaper barracked for causes rather than political parties and promoted issues not individuals and told both sides of a story.
However it was The Australian in 1994 that cleared the way for Mr Howard to take the Coalition leadership and become prime minister "by putting on the front page his change of mind on Asian immigration".
Thirteen years later though, the paper was campaigning against Mr Howard, he added.
Mr Abbott acknowledged that The Australian had sought arguments for and against a number of issues, including the much-debated price on carbon.
"No think-tank, no institution, no university has so consistently and so successfully captured and refined the way we think about ourselves."
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