Humanitarian organizations are preparing to launch a fundraising appeal for $500 million for the crisis created by Daesh group in Iraq, the Daily Mail quoted the United Nations children's agency (UNICEF) as saying on Monday.

The announcement came a day ahead of a meeting in Paris of the US-led coalition of countries working to defeat the jihadist group in Iraq and Syria.

"The humanitarian situation in Iraq is close to disaster! We urgently need extra resources in order to continue assistance," Philippe Heffinck, UNICEF's representative in Iraq, said in a statement in French.

According to the UN agency, eight million Iraqis are in urgent need of humanitarian aid, in particular the roughly three million people who have been forced to flee their homes since the start of the IS offensive in June 2014.

Access, however, has been hampered by the fighting and a lack of funding is now even threatening such humanitarian assistance as has been possible, UNICEF said.

As a result, all those organizations currently active in Iraq will in Brussels on Thursday launch "a fundraising appeal for nearly $500 million to cover relief operations over the next six months", the agency added.