The money is part of the recently announced National Development Plan for major capital projects.
€495m is being allocated to the Irish Prison Service, including projects across the Midlands.
Portlaoise Prison and Midlands Prison are receiving funds to go towards their development and for additional prison spaces to aid with overcrowding.
Castlerea, Cloverhill, Mountjoy, Wheatfield, Dóchas and the Old Cork site will also get a funding boost, with the development of a new site in North Dublin planned.
Funds will also be spread throughout the wider justice sector such as a new technology headquarters for Gardai and immigration system upgrades.
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