More than €16 million in funding is to be divided between the Arts Council, the Irish Film Board and theatre and arts organisations nationwide.
The Arts Council, with €7.5 million in extra capital funding, is the single largest beneficiary. This funding will include €850,000 for the Wexford Festival Opera, €2.2 million for a Studio Refurbishment Scheme and €741,000 for the Irish Traditional Music Archive.
This additional funding brings to €79.81 million to overall allocation to Arts Council this year, a 20 per cent increase on last year's.
The next largest single allocation was to the Irish Film Board, which will receive €2.3 million.
John O'Donoghue, Minister for Arts, Sport and Tourism, said 29 arts and cultural projects will benefit from the funding - which will enable them to refurbish and purchase equipment.
The Minister said he was particularly pleased that the funding would include €2 million towards the refurbishment of Smock Alley, one of the oldest theatres in the world.
The Gate Theatre will also receive an allocation of €1,000,000.