Welsh Football Association president Phil Pritchard confirmed the increase, as the league prepares to expand to two tiers next season.
“It is great news for Mid Wales football in general and the Mid Wales League in particular,” said Pritchard. “This funding underlines the Welsh FA’s support for a two tier Mid Wales League from next season.”
Funding will be allocated for ground developments, with £60,000 reserved for first division clubs and the remaining £30,000 available for members of the second division.
“First division clubs have consistently upgraded their facilities over the years and I have every confidence that standards will continue to improve.
“I am really excited about the second division and league secretary Phil Woosnam must be congratulated on all the work he has put in to get the new league ready for next season.”
Pritchard hopes inaugural second division members will all apply for grant aid to develop their facilities.
“The £30,000 has been set aside for these 16 clubs and this money can go toward any worthwhile ground developments,” he added.