It decided to start dualling the A5, which passes through the counties of Tyrone and Derry to connect Co. Donegal with Co. Monaghan.
The Irish Government is also providing €600 million in support for the A5 dual-carriageway initiative.
Since its initial proposal for an improvement in 2007, it has resulted in the deaths of over 50 individuals.
Protesters have expressed gratitude for the A5 update.
According to Niall McKenna, chair of the A5 Enough Is Enough organisation, the AF has left a "catastrophic and notorious legacy" in the region.
"Building a new dual carriageway along this stretch will significantly improve traffic safety and lower the alarmingly high rate of collisions and fatalities.
Work will begin next year on the 54km stretch in Co Tyrone between Strabane and Ballygawley.
It is the area with the greatest number of deaths and makes up more than half of the improvement that is scheduled.
It is anticipated that the first phase will take five years to finish.
Due to legal objections from landowners worried about the mandatory purchase of land along the 88-kilometer route, the renovation has been put on hold for years.
They had maintained that adding overtaking lanes and other road upgrades would have been enough to increase safety.
The anticipated expense of the refurbishment is little more than €2 billion.