No details were given on which countries might contribute, but the leaders said the Takuba forces would focus initially on fighters from the Islamic State in the Greater Sahara, known by its French abbreviation EIGS.
France, which once colonized much of West Africa, has around 4,500 soldiers in the vast Sahel region and has been accused by some residents of failing to stabilize it.
Salif Keita, one of Mali's most popular singers, urged President Ibrahim Boubacar Keïta in a Facebook video previous year to stop "subjecting yourself to little Emmanuel Macron - he's just a kid".
So did President Roch Marc Kaboré of Burkina Faso.
UN Security Council ambassadors stood for a minute of silence Monday in memory of 89 soldiers killed last week during a jihadist assault on a Niger military base.
That attack spurred leaders of the G5 Sahel nations to call for closer cooperation and worldwide support in the battle against the Islamist threat.
"The Heads of State of the G5 Sahel expressed the wish for the continuation of France's military engagement in the Sahel", said the parties in a joint statement issued by France.
Militants linked to al Qaeda and Islamic State have strengthened their foothold, making swathes of territory ungovernable and stoking ethnic violence, especially in Mali and Burkina Faso. Last month, Macron said he wanted the Sahelian leaders to clarify whether they want and need French troops.
Macron said he was also anxious of a possible withdrawal by the United States military in the area.
Alongside the military expenditures are development initiatives, as well as the latest P3S plan announced at the G7 summit hosted by France at Biarritz in August.
The US now has two drone bases in Niger, but a report in the New York Times last month claimed that the Pentagon was considering reducing troop levels in Africa or even withdrawing completely. Another French military action killed 33 extremists in central Mali.
Washington has some 7,000 special forces on rotation in Africa carrying out joint operations with national forces against jihadists, particularly in Somalia.
According to the United Nations envoy for West Africa and the Sahel, attacks have increased five-fold in Burkina Faso, Mali and Niger since 2016 with more than 4,000 deaths reported in 2019 compared with an estimated 770 deaths three years before.
"This Pau Summit is an important moment after what our countries have suffered".