Key told journalists the money would be on top of the $338,000 already donated.
Given the political situation in Fiji, the money would be funneled through non-government organizations and not the Fijian government, Key said.
It would be used mainly for the reconstruction of roads and other infrastructure. The recent flooding caused widespread devastation with many thousands fleeing their homes.
More than 300 businesses were destroyed in the tourist town of Nadi alone and cane sugar crops, which earn Fiji $150 million annually, were severely damaged.
Both Australia and New Zealand have been at odds with Fiji over the military junta now running the country and the failure to hold democratic elections.
