Ministry signs loan agreement for work on Western and Central rail lines

Accra, Aug. 1, GNA - The Ministry of Ports, Harbours and Railways on Wednesday signed a 1.6 billion-dollar concessionary agreement with Dubai-based Kampac Group of Companies to begin work on the Western and Central Railway lines.

The agreement covers the rehabilitation of railway lines spanning Western, Ashanti and Greater Accra regions and the construction of new lines from the southern sector to Brong Ahafo, Northern and Upper West Regions.

Mr Rufus OkaiQuaye, Managing Director of Ghana Railway Company Limited and Mr Charles Ampofo, Chief Executive of Kampac, signed for their respective companies.

Professor Christopher Ameyaw-Akumfi, Sector Minister, said the signing of the agreement was the final stage of a series of meetings and negotiations to give legal backing for the implementation of the project.

He said the first phase of the project, which included rehabilitation and re-structuring, was expected to last for between 10 and 18 months to pave way for construction of new lines. Prof. Ameyaw-Akumfi said the Ministry had set up a joint steering committee to ensure that the project was well implemented. Mr Charles Ampofo, Chief Executive of Kampac, said already the company had dispatched 21 engineers to conduct a survey, plan the site and put structures in place to enable them to move fast on its implementation.

"We just want to focus on the project as we start implementation; our aim is not to make money but to deliver," he added. Mr Ampofo said the company was working with a local public relations team to educate the public as well as encroachers on the need to keep off the rail lines.