The federal government has allocated $2.7 million to fix four black spots on ACT roads and another $3.2 million to improve the Federal Highway.
ACT Senator Zed Seselja and Assistant Minister for Infrastructure and Regional Development Jamie Briggs announced the black spot funding on Friday morning.
More than $1.1 million will go to improving the Tuggeranong Parkway between Hindmarsh Drive and Sulwood Drive in Fisher, including the installation of animal fencing, roadside lighting, signage, line marking and barriers.
Similar work will occur on the Tuggeranong Parkway between Cotter Road and Hindmarsh Drive in Weston worth nearly $750,000.
Mr Seselja said the funding would deliver safer roads for Canberrans.
"Black spot projects target dangerous roads to save lives and reduce road trauma, ensuring Australia's roads are made safer and more productive for all road users," he said.
"An evaluation of the black spot program has found that fatal and casualty crashes are reduced at treated sites by 30 per cent, equalling one life per year for every 84 projects."
Another $600,000 will be allocated to install traffic signals at the intersection of Pialligo Avenue and Oaks Estate Road, with another $200,000 of work to be conducted on Ginninderra Drive in Evatt.
ACT motorists have been encouraged to nominate additional roads for consideration by lodging an application with the Department of Infrastructure.
The black spot program will be managed by an ACT based panel with representatives from the National Capital Authority, Pedal Power, the Motorcycle Riders' Association, the Australasian College of Road Safety, the NRMA, and the ACT government.
Mr Briggs said the project was expected to prevent 25 crashes causing injuries over 10 years and deliver economic benefits close to $18 million.
The Federal Highway will also be improved after the territory and federal government announced $4 million of funding, with work expected to begin later this year.
Minister for Infrastructure and Regional Development Warren Truss said the program would fund much-needed upgrades such as shoulder and centre-line widening, ripple strips, wire-rope barriers, overtaking lanes, turning lanes and pavement improvements.
ACT Minister for Roads and Parking Mick Gentleman said the territory government would provide $800,000 while $3.2 million would come from the federal government.
"This program is another example of the Australian and ACT governments' commitment to working together to build productive infrastructure for the local community," he said.