First Nations Projects Group and the Australian Sustainable Finance Institute announced a partnership on Thursday to establish a peak body providing support to First Nations groups in developing partnerships with industry and government on major projects.

FNPG and ASFI said it will "scope and incubate" the peak body to support First Nations groups, the finance sector and the renewables and extractive sectors to come together and deliver "effective partnerships and commercial agreements based on the principles of self-determination, equity and participation".

ASFI and FNPG have extensive networks in the relevant sectors.

FNPG brings to the table its expertise in First Nations culture, its connections, and its experience working closely with First Nations communities, Aboriginal community-controlled organisations (ACCOs), First Nations businesses, government, non-profit and corporates. The Group works to develop policy and project initiatives that deliver better outcomes for First Nations communities.

First Nations Project Group chair, Wiradjuri woman Leah Bennett, said the Group is "excited to begin this project and consult and collaborate with First Nations communities across Australia and global First Nations groups".

"This body will be positioned to accelerate the opportunity of the Indigenous estate. It will be complimentary to existing services within the First Nations ecosystem and is focused on being community led," she said.

ASFI chief executive Kristy Graham said the collaboration marks "a significant step" towards meaningful participation for First Nations communities in projects on their lands.

"This partnership will bring the power of the finance sector alongside the deep knowledge and expertise of First Nations to set a new benchmark for equitable partnerships and co-design," she said.

"From what we've learnt from our work, in partnership with FNPG and our First Nations Reference Group, we see real opportunities for an organisation that could provide specialist advice in areas that existing bodies do not cover, such as capital raising, equity positioning for major projects, and specialist negotiations and agreements for First Nations."