Clones Family Resource Centre is to receive €94,798 with its partner County Armagh Community Development for a 12 month ‘Connect2Gether’ project that will operate on a cross-border and cross-community basis in the Clones and Armagh areas.
Through a programme of activities and workshops, the programme will build connections and good working relationships between participants from the two communities.
Meanwhile, the International Fund for Ireland has committed a further €1.5m to peace and reconciliation efforts across Northern Ireland and the southern border counties.
IFI Chairman, Paddy Harte says the border on the island of Ireland remains a psychological and physical barrier for many communities.
He added that these communities suffered tremendously during The Troubles, and even today, many towns remain deprived with residents leaving to find opportunities elsewhere.
"The IFI has been a strong advocate of building border connections and development since its inception," Mr Harte continued.
"From the restoration of the Shannon Erne Waterway in 1991 right through to the present day, we support many projects operating in the border region.
"At the moment, we know communities are feeling isolated and facing many challenges at a political, social and economic level.
"The IFI has a unique role to play now to bridge the divides and encourage outreach within border communities especially.
"Through our experience, we know that with the right support on the ground, we can ensure the connections painstakingly built up across borders and across communities are protected and nurtured."