I'm not affiliated with YC so I can only speculate. But I imagine, all things being equal, that the investment would increase your chances of getting in, provided the terms and valuation are not substantially worse than usual. It's a vote of confidence, which has value. (Although substantially less since it's a govt fund.)

You really shouldn't be basing important business decisions like this on their impact on your snowball's chance of getting into the highly competitive YC though. Unless you were really close to getting in last time. (Like, you went and interviewed and they said that you were really close.) The fact that you are bodes poorly for your chances.