Bendigo Airport will receive $465,000 from the Federal Government's $41.2 million Regional Airports Program.
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Senator for Victoria Sarah Henderson said the funding will provide for expansion and strengthening of the regular passenger apron.
It will also allow for larger and smaller aircraft to be separated, increasing safety.
"This provides a much needed boost to the Bendigo economy and increase Bendigo's access to domestic and international markets and tourism," Senator Henderson said.
"I have been speaking with the Deputy Prime Minister regularly, advocating for this funding for our community and I am pleased the government has delivered it."
Deputy Prime Minister and Minister for Regional Development Michael McCormack said the program would assist the owners of regional airports to undertake essential works, promoting aviation safety and access for regional Australians.
"For our regional communities, the local airport is an essential link to the rest of Australia," Mr McCormack said.
"The Government is investing in regional airports because we know this infrastructure is key to securing our regional aviation network now and into the post-COVID future."