Australia will not increase military assistance despite Jakarta terror attack

Australia will not increase its military forces in the Middle East to fight Islamic State (IS) despite the deadly Jakarta terror attack, Foreign Minister Julie Bishop told reporters in Sydney on Friday.

Islamic State (IS) militants claimed responsibility for Thursday's deadly assault on Indonesia's capital that claimed the lives of seven people overnight, five of which were the attackers themselves. Local authorities said they managed to capture two attackers alive.

No Australian's had been caught up in the attacks and all staff and families of the Australian embassy in Jakarta were safe, Foreign Minister Julie Bishop told Australia's news networks from Sydney on Friday.

Australia has been concerned of the possibility of an IS attack in the region for some time as radicalised regional foreign fighters return from the conflicts in Syria and Iraq. South East Asia has been a key recruitment ground for the group with some 500 Indonesians and dozens of Malaysians forming their own unit for IS in Syria.

Indonesia has previously experienced Islamic terror attacks however a coordinated assault by bombers and gunman is unprecedented. Local media suggests it echoes the 2008 Mumbai attack and the Paris attack last November claimed by IS.

The most recent major terror attacks in Jakarta were the July 2009 bombing of Ritz Carlton and JW Marriott hotels.

Last week video footage emerged suggesting four Islamic terror groups in southern Philippines had merged to form an IS satellite presence in South East Asia. From the lawless island region that borders Malaysia, the militants are then able to use existing smuggling routes through Indonesia to the suspected IS training ground of Poso in Indonesia's central Sulawesi island.

Australia has offered Indonesia whatever support it needs following the attacks, including law enforcement, intelligence and security support, but won't be stepping up its presence in the Middle East to combat IS.

"The United States understands that we will maintain our existing substantial contribution that does see us as the second largest military contributor to the coalition efforts on the ground in Iraq," Bishop told Australia's Seven Network when asked if Australia's assets in the region will be increased.

Australia, a staunch ally in the United State's battle against IS militants in Syria and Iraq, just days ago refused a request for a greater military commitment to the campaign.

"Australia has considered the request from U.S. Secretary of Defence Ash Carter in light of the substantial contributions we are already making to train Iraqi security forces and to the air campaign," Australian defence minister Marise Payne said in a statement on Wednesday.

"The Government has advised Secretary Carter that our existing contributions will continue."

Bishop said Australia was among 40 other coalition partners that were requested to increase military assets, and instead encouraged them to increase their contribution. Endit