China Railways Construction Corporation (CRCC) has offered to rehabilitate and construct a 560km standard gauge railway line for Ghana at $2 billion.
This is the same cost as the 156km Lagos-Ibadan railway line which is been constructed by the China Civil Engineering Construction Corporation (CCECC).
The proposed railway line will run through designated stations, including the terminals at Aflao and Elubo, when completed.
In addition to the construction, the Ghanaian government plans to establish assembly plants in at least two regions for the building of locomotive coaches and wagons that would constitute the rolling stock for Ghana Railways in the future.
Joe Ghartey, Ghana’s minister of railway development, Dou Yisuo representing CRCC and Henry Djaba Jnr, the managing director of Lakeland Group of Companies, who are the local content partners of CRCC, signed the memorandum of understanding on March 21.
The Ghanaian government will not be funding the railway projects as the funding will be arranged by CRCC. Also, Sinochem, an oil company in China, will provide up to $3 billion as funding of railway construction projects throughout the country, backed by crude oil futures.
Ghartey recently visited Nigeria on the invitation of Rotimi Amaechi, the minister of transportation, to inspect and assess the railway construction projects that the Chinese Conglomerate has completed and that are currently being undertaking in Nigeria.
TheCable
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