Peak Indigenous bodies have commended a new federal government child safety framework for addressing acute barriers faced by First Nations kids.

The initiative, called Safe and Supported, includes specific measures for Aboriginal and Torres Strait Islander peoples in its first Action Plan.

Announced Tuesday, the multi-million dollar program has an initial three-year plan covering facets including addressing social determinants, child safety, and service delivery.

The action plan will intersect with existing initiatives nationally and put focus on children from disadvantaged families, including those living with a disability.

The plan includes a strong focus on improving the life outcomes of children in out-of-home care and implementing the Aboriginal and Torres Strait Islander Child Placement Principle.

A Closing the Gap aim to reduce the rate of over-representation of Indigenous children by 45% by 2031 is factored into the larger 10-year framework.

Alongside state and territory governments and the Aboriginal and Torres Strait Islander Leadership Group, the Secretariat of National Aboriginal and Islander Child Care (SNAICC) are recognised as major contributors to the plan.

In a statement SNAICC said Safe and Supported "sees all governments support Indigenous-led solutions to support child development, safety and wellbeing for children and families".

SNAICC chief executive Catherine Liddle called the project a milestone move under the National Agreement on Closing the Gap.

"It shows the Priority Reforms of the Agreement in action, by ensuring we take the lead in decision making that directly affects our lives, transforming the way governments work with us and driving systemic change that will directly impact the lives of children," she said.

"The reforms laid out in the Action Plans will put authority back into the hands of Aboriginal organisations and families, recognising we have the expertise and the solutions to deliver real and effective change so our children and families can thrive."

While conceding the program's ventures are not "quick fixes", Ms Liddle said the policy will transform services and systems to a position able to realise positive change.

"There will be less children having contact with the justice system, we will reduce the unacceptable numbers of our children going into out-of-home care and losing contact with kin and culture, and our children and families will be supported to thrive," she said.

Ms Liddle also said the reforms would be enacted to address the concerns currently seen in Mparntwe (Alice Springs).

Life Without Barriers, an organisation partnered with SNAICC to progressively shift away from out-of-home care for Indigenous children in favour of community self-determination, commended the announcement.

"It is very encouraging to see that this plan has been developed in conjunction with Aboriginal Community Controlled Organisations, industry, young people and families, First Nations leaders and communities and the non-government sector," Life Without Barriers chief executive Claire Robbs said.

"The over-representation of Aboriginal and Torres Strait Islander children in the out-of-home care system is extreme.

"Aboriginal and Torres Strait Islander children are being removed from their families at historic levels, and we need to employ transformative and innovative initiatives to see real systematic change for children and families in Australia."

The federal government's Department of Social Services called the Action Plans "a living document" and will respond with changes to approach as required, including Royal Commissions.