The cash will be given to aid agencies to provide food, clean drinking water, sanitation, shelter and healthcare, as well as helping survivors cope with the trauma.
More than 1,500 people are thought to be dead, missing or injured after last week’s 7.5-magnitude tremor and tsunami on the island of Sulawesi, with up to 1.5 million people affected.
International Development Minister Ben Macpherson said: “The earthquake and resulting tsunami in Indonesia has caused terrible suffering, with more than 1,500 people having tragically lost their lives and countless more displaced and in need of urgent assistance.
“We want Scotland to be a good global citizen and our Humanitarian Emergency Fund (HEF) aims to provide emergency life-saving aid to those most in need.
“Our HEF panel member agencies are ready to provide in-country support to those caught up in this tragedy, many of whom are children.
“This financial support will help to provide much needed assistance.”