Cloning has enabled the creation of genetically modified animals for breeding. Researchers at the institute were responsible for producing chickens genetically modified to prevent them spreading bird flu to other birds.
Finance Secretary John Swinney confirmed extra funding of nearly £20 million for a number of further and higher education projects, including the Roslin Institute, in a statement to Parliament on December 19.
Rural Affairs Secretary Richard Lochhead said: "The Roslin Institute is one of the leading animal science research centres in the world which benefits farmers both in Scotland and internationally.
"Attracting capital funding for new infrastructure and creating employment opportunities in Midlothian is a key objective of the Easter Bush Research Consortium, of which the Roslin Institute is a part.
"This investment should benefit all members of the consortium and will help to create a fantastic resource for Scotland and the world."