Justice Minister Peter MacKay says seven projects will receive the funding over the next two years.
He says repairs will be done to hangar doors, a runway and fire suppression systems within the hangar so aircraft can manoeuvre and be stored safely.
Money will also go toward road and walkway maintenance, health and safety upgrades and the renovation of military quarters and residential housing units.
Greenwood, the largest airbase on the East Coast, is home to Auroras, Hercules and Cormorant aircraft used for search and rescue missions in the region.
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