The Scottish Government cash has been allocated to a host of initiatives and projects by councillors on the policy and co-ordination committee.
They agreed to:
£360,000 investment in Kirkcaldy town centre
£150,000 on upgrading work to Kirkcaldy's Kings Theatre
£500,000 for improvements around Leven's railway and bus stations and better links to the town centre
£600,000 to take forward improvement work in Kincardine
£438,000 on upgrading work to St Margaret’s House Dunfermline
£200,000 in grant funding, available to town centre businesses for improvement works
£200,000 to help improve community facilities at Rosyth Community Facilities DAFC alongside the new training facility
£300,000 to upgrade nine business units at Lochgelly Business Park
Gordon Mole, head of business and employability, welcomed the funding adding this would help in the council's aim of stimulating and supporting investment in Fife's towns and encouraging more people to use their local facilities.
He said: “These schemes focus on local priorities to address issues in our town centres, focusing on what's needed and bringing improvements and change.
“Fife's centres have a lot to offer and this funding will help us diversify and flourish as we recover from the challenges of the pandemic and continue to grow our local economy."
"The funding would also encourage local trades and suppliers to bid for work related to any of the projects, keeping investment local. “
Mr Mole added: "It's important that as a council we do everything we can to encourage local businesses to take advantage of the opportunities that these investment projects bring to the area. Our teams will be working to make sure Fife firms benefit as much as possible."
Over the past three years the council has benefited from over £8 million of Scottish Government funding to boost town centres and local economies.
Projects already completed include the redevelopment of the site used by the former DSS building in Cowdenbeath town centre, the creation of an Enterprise Hub in Dunfermline town centre, new signage and cycleways in Glenrothes, and improvements to Inverkeithing and Kirkcaldy town centres.