The ceasefire will see Gaza hostages and Palestinian prisoners in Israel freed.
A ceasefire between Israel and Hamas in Gaza went into effect on Sunday morning. Hostages held in the strip and Palestinian prisoners in Israeli jails will be freed in the first phase of the deal.
Meanwhile, the November ceasefire in Lebanon is holding despite ongoing Israeli airstrikes on Hezbollah targets, which Israeli officials say are responses to ceasefire violations by the Iranian-backed militant group. Israeli forces also remain active inside the Syrian border region as victorious rebels there build a transitional government.
Tensions remain high between Israel and Iran after tit-for-tat long-range strikes in recent months and threats of further military action from both sides. The IDF and the Yemeni Houthis also continue to exchange attacks.
The International Committee of the Red Cross (ICRC) confirmed to the Israel Defense Forces that the three Israeli hostages have been transferred to the ICRC and are "on their way" to Israeli forces in Gaza, the IDF said in a statement.
President Joe Biden has been "regularly updated" through Sunday morning with the latest on the ongoing hostage release in Gaza, a senior administration official told ABC News.
-ABC News' Michelle Stoddart
Hamas' military wing -- the Al-Qassam Brigades -- said it "handed over three Israeli female prisoners" to the Red Cross in Gaza City.
The transfer occurred "in the vicinity of the Saraya Junction" amid "a large crowd," the force added in a statement.
-ABC News' Samy Zyara
An Israeli source confirmed to ABC News that the transfer of hostages to the Red Cross had begun.
-ABC News' Jordana Miller
