Ghana to privatise railways, minister says

ACCRA, Nov 18 -

Ghana plans to privatise its railways next year to turn the dilapidated network into a viable transport system, Transport Minister Edward Salia said.

``Within the next 12 months government intends to place the running of the rail system into the hands of investors on A concessional basis,'' Salia told a group of 28 visiting French investors on Wednesday.

He gave no details or tender timetable.

The West African country whose main exports are gold and cocoa, has a railway network of 1,300 km (810 miles), linking the capital Accra and the port of Takoradi to Kumasi in the north.

The railway is particularly important for Ghana's bauxite mines situated some 200 km (120 miles) west of Takoradi. Bauxite companies have for long complained that inefficient rail services are hampering their operation.

Salia said a study conducted by a French consultancy had recommended a suburban rail system to addresss commuter problems in the Accra metropolis.

Other major facilities and infrastructure being considered for private investment included construction of new airports, toll roads, water transportation for goods and services and air transport, Salia added.

He called for closer cooperation between state carrier Ghana Airways and Air France.

The French delegation, led by Michel Roussin, a former cooperation minister, is on a four-day mission to Ghana to scout out investment opportunities.

The group has held talks with various government ministers.

Roussin said the delegation's visit followed an appeal by President Jerry Rawlings during a visit to France earlier this year for French investors to enter the Ghanaian economy.