Premier David Alward announced the funding Tuesday at de la Republique Provincial Park.
Alward said the funding made sense given the park's proximity to the World Acadian Congress events to be held in 2014.
Upgrades this fall will include installing water supplies at each campsite, upgrading electrical outlets, renovating the washrooms, and surfacing and paving campground roads and parking lots.
Alward said the tourism industry brings about $1 billion a year into the province and they need to modernize tourism products.
The park, opened in 1974, receives about 44,000 visitors each year.