Australia's government will spend an additional A$14.5 million ($13 million) on an existing air and sea safety programme with Indonesia.
Under the two-year-old programme, Australia helps to train Indonesia's safety inspectors and accident investigators, says Australia's transport minister Anthony Albanese.
The two countries also carry out joint search and rescue exercises.
"The new funding builds upon the A$24 million allocated in 2008. Together these investments will continue improving safety standards within our region. This will benefit 1.3 million people who travel between Australia and Indonesia each year," says Albanese.
Australia's transport ministry will administer the funds, which will go towards programmes in cooperation with the Civil Aviation Safety Authority, the Australian Transport Safety Bureau, the Australian Maritime Safety Authority and Airservices Australia.