Prime Minister Malcolm Turnbull is in the "closest contact" with Australian spies and other counter-terrorism officials following the deadly attacks in Paris.
Despite being in Turkey for the G20 conference, Mr Turnbull has been briefed by the federal police commissioner, director general of ASIO and his national security cabinet, who have been co-ordinating with French security officials.
"We can't pretend the risk is not there, but we have to recognise that the security agencies spend their days ensuring that these attacks do not occur," he told ABC television on Sunday.
At least 129 people were killed in co-ordinated suicide bombings and shootings across the French capital, with Islamic State claiming responsibility in retaliation for France's involvement in the Middle East.
Australia has also joined air strikes against IS in Syria and Iraq, but Mr Turnbull says his security advice shows no need to raise the terror alert level.
"We cannot allow our national security or our national security policies to be dictated to by terrorists," he said.
"They want us to bend to their will and we will not."
Australians could be assured police and security forces were working hard to keep them safe, he said.
Reports a Syrian passport found near one of the suicide bombers was used to enter Greece as a migrant has raised concerns about migration paths through Europe.
Mr Turnbull said Australia's screening of refugees was "very careful" and history showed domestic attacks usually involved second of third-generation Australians.
He committed to defeating Islamic State in Syria and reiterated Australia's "significant" role in fighting the group through the provision of military resources.
"We are second only to the United States," he said.
However, he said a military solution would not be enough in Syria and called for a political answer to restore stability in the country and allow millions of displaced nationals to return home.
Mr Turnbull acknowledged the Paris tragedy was a deviation from recent "lone-wolf" terrorism but pointed to several other large-scale attacks in the region, including recent bombings in Turkey and Beirut.
He has discussed the need for a collective response to combat terrorism on the sidelines of the G20, which will kick off later on Sunday (AEDT) with the focus on extremism.
"This is a global problem," he said.
A state of emergency has been declared in France, several tourist attractions have been closed and the country has commenced three days of national mourning.
Despite security concerns, Mr Turnbull plans to attend the United Nations climate change conference in Paris in two weeks.
"If it goes ahead, which I'm sure it will, I will certainly be there, as indeed will other ministers," he said.
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