The bridge will be constructed at Narrow Water near Warrenpoint, County Down, and once completed will link County Down with County Louth.
Patrick Clarke, also a Councillor for Newcastle, said the bridge would bring a much needed economic and tourism boost to the South Down area.
Councillor Patrick Clarke said: “This is fantastic news today on a project that will bring much needed benefits to the South Down area.
“At a time when our economy continues to struggle, this new bridge will bring a fantastic economic boost to the area, creating jobs in the short term and tourism in the long term.
“The Alliance Party is dedicated to creating a future without divisions. This move today will serve to increase greater community interaction across the border, by opening up the Mourne area to people travelling each way.
“I wholeheartedly welcome the decision by the Minister today and look forward to seeing the benefits the area will enjoy once the project is completed.”