The Federal Government will spend $4.6 million over three years to try to stop funding reaching 'I-S-aligned terrorist groups' in South-East Asia.
Financial intelligence agency AUSTRAC will work with international partners to detect and prevent money destined for I-S being moved through Australia.
Justice Minister Michael Keenan says cutting off the group's funding is key to stamping out efforts by the group to establish a local presence, following its decline in the Middle East.
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