The federal cabinet has signed off on the deployment of additional troops to the Middle East as forces struggle to keep the Islamic State group out of Iraq.

Up to 300 soldiers will reportedly be installed outside of Baghdad with a contingent of New Zealand troops to train Iraqi forces.

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Australia’s participation was given the go-ahead at a cabinet meeting on Monday evening, and was announced on Tuesday morning.

Soldiers will be deployed by the middle of the year.

Last week, New Zealand Prime Minister John Key made the announcement and said they would dispatch 143 soldiers as part of a joint-training mission with Australia.

According to Fairfax media, troops will remain on bases and will not go onto the battlefield to assist with fighting Islamic State jihadists.

They would be based at Taji, about 30km north of Baghdad, to instruct Iraqi troops in basic weapons skills, and individual and unit skills, to prepare Iraqi security forces for combat.

Training would also include the planning of operations and medical and logistics support.

There are already 200 Australian special forces soldiers deployed in Iraq who are advising the country’s special forces.

Defence analyst and retired major general Jim Molan said Iraqi forces had been halted by an advancing Islamic State, despite being aided by coalition air strikes.

Mr Molan said an Iraqi contingent of up to 25,000 troops would be needed to generate a force big enough to push the group out of Iraq.

“What Australia can do is conduct this training with the Kiwis in the same location and feed those troops into the brigades,” he told Sky News.