The cash, part of the £500m City Deal, will part fund a new research centre at the new South Glasgow Hospitals.
George Osborne is speaking at the Commonwealth Business Conference in Glasgow where he said the cash has the potential to create 30,000 jobs in Glasgow.
The cash will provide £16m towards a new £64 million Stratified Medicine Imaging Centre of Excellence.
The deal also provides £1.2m towards a £4m MediCity Scotland, which will develop new products and £1.7m for a Business Incubation Development centre in Merchant City.
Mr Osborne said: "This is a hugely exciting new technology that has the potential to improve radically treatments for chronic diseases including cancer, diabetes and dementia - with treatments tailored to the patient's DNA.
"It's a major investment in Glasgow's growing life sciences industry - which will keep them at the cutting edge in this global race."
The Scottish Government Glasgow City Council and the universities of Glasgow and Strathclyde are also committing funding to the projects.
Gordon Matheson, leader of Glasgow City Council said: "The City Deal will transform the Glasgow City region. It is the best example of partnership between local and central government.
"The Imaging Centre of Excellence will put Glasgow at the forefront of cutting edge medical research. This will mean not only better health for Glaswegians but, crucially, more sustainable, high value jobs."
The investment towards the £64m centre at the New South Glasgow Hospital will fund research to tailor treatment to patients DNA for diabetes, cancer and dementia.
Mr Osborne said: "It's a major investment in Glasgow's growing life sciences industry - which will keep them at the cutting edge in this global race."
"We're backing them today with this new a space where academics, entrepreneurs and clinicians will come together to develop new technologies and new businesses."