The announcement comes as the aid organisation released estimates that over 200,000 people have been forced from their homes.
"With the announcement of government funding today World Vision will provide thousands of people with food, hygiene kits, medical supplies and psychosocial support including safe spaces for children to play," World Vision Australia CEO, Tim Costello, said Monday.
"Almost 200,000 children are in need of support as a result of thousands of families experiencing death, injury and destruction of homes in the past few weeks alone."
Australian Minister for Foreign Affairs, Julie Bishop, expressed deep concern as the number of casualties from the ongoing conflict in Israel, Gaza and the West Bank rises, but she welcomed the 12-hour humanitarian ceasefire in Gaza.
"Australia strongly supports efforts by world leaders, including UN Secretary-General Ban and US Secretary of State Kerry, to secure a permanent ceasefire," Bishop said in a statement.