The French overseas minister, George Pau-Langevin, has signed a range of contracts with the French Polynesian president, Edouard Fritch, worth nearly 200 million US dollars.
The deals were formalised in Papeete at the start of her official visit to the territory.
The funding is being made available as part of a five-year assistance package, amounting to about 700 dollars per person.
More than half of the money is being allocated towards social housing.
France has also committed to help with the RST social assistance scheme which is facing a chronic deficit.
French Polynesia hasn't adopted the RSA support system which is in place in France.
Relations between French Polynesia and Paris have improved since Mr Fritch replaced Gaston Flosse, who was forced to quit the presidency after being given a suspended prison sentence for corruption.