The funds will be split among 13 projects in Scotland over three years, Transport Minister Keith Brown said.
Projects include promoting bus information, enhancing a park-and-ride site and improving infrastructure. The grants were made under the first round of Transport Scotland's bus investment fund.
Mr Brown said: "I would like to congratulate all 13 applicants who have secured substantial funding.
"This fund provides local authorities, regional transport partnerships and bus operators with the opportunity to apply for grants, which will help to increase the standard of bus services and patronage."