The Chief Executive Officer of the Ghana Railway Development Authority, Frederick Appoh, has announced that the European Commission has approved a €20 million grant to support the upgrade of the Tema–Mpakadan railway signalling system.

Dr Appoh said the funding will be used to implement the European Train Control System (ETCS Level 1), a move expected to significantly improve efficiency and operational capacity on the line.

“This intervention will transform operations on the Tema–Mpakadan line and help us meet the growing demand for railway transport,” he stated.

The Tema–Mpakadan railway, which was commissioned in 2024 at a cost of $449 million, forms a key part of Ghana’s railway modernisation agenda aimed at easing road congestion and boosting trade logistics.

However, despite its strategic importance, the line has been operating below capacity due to non-functional signalling systems, limiting train movement to one at a time.

Dr Appoh explained that the absence of a fully operational signalling system has constrained efficiency and reduced the potential benefits of the investment.

“With the current setup, only a single train can operate at a time, which affects overall efficiency despite increasing passenger demand,” he noted.

The new upgrade is expected to address these challenges by enabling better coordination of train movements, improving safety, and increasing the number of trips that can be made daily.

The grant from the European Commission is also seen as a boost to Ghana’s broader efforts to modernise its transport infrastructure and attract further international support for critical projects.

Industry observers say the successful implementation of the signalling system could unlock the full potential of the Tema–Mpakadan corridor and strengthen Ghana’s position as a logistics hub in West Africa.