Mr Ofori-Atta said the construction of the project, which was expected to start by November this year, would decongest the capital city.
He said the 200 million dollars formed part of the equity contribution of government to the development of the Eastern Line on a Build-Operate-Transfer (BOT) basis with government participation.
The Minister disclosed this when he presented government’s 2018 Fiscal Mid-Year budget review to Parliament on Thursday in fulfilment of constitutional requirements.
Mr Ofori-Atta said that the government’s approach was one of building an integrated infrastructural network, to facilitate industrialisation, trade and urbanization across the country
“…One of the major transformational programmes of the Akufo-Addo government is to build a modern, nationwide railway network system for both passengers and cargo.
“Through competitive bidding, the Ministry of Railways Development has reached the final stage of procuring a strategic investor for the development of the Eastern Railway Line, from Accra-Tema to Kumasi on a BOT basis with Ghanaian participation,” he added.
He said out of 14 consortiums shortlisted, the preferred bidder would be chosen by the end of the year for work to begin next year.
Mr Ofori-Atta added that, the Accra to Ouagadogou rail network (another BOT project) has 11 entities shortlisted, with the procurement process scheduled to complete this year for construction to commence in the first quarter of next year.