Published Thursday, 06 October 2011
Transport Minister Danny Kennedy revealed the decision after the Executive endorsed £27m of funding for work on the rail line to start in July 2012.
He said that the announcement secures the future of the Londonderry to Coleraine rail line.
"I have been able to manage expenditure from within my own department's capital budget to enable this phased option to proceed," the UUP minister said on Thursday.
"I realise that there are other competing priorities for funding, not least capital investment needs within my own Department's budget. However the case for investment in the Londonderry to Coleraine rail line is compelling."
Translink aims to complete the first phase of the relay, from Coleraine to Castlerock and from Eglinton to Londonderry, by April 2013.
This work will require the line to be completely closed for approximately nine months.
There was an outcry in the North West after it was announced in August that the £75m needed for a total upgrade was not there.
Work was said to be postponed until 2014.
At the time Translink blamed this on deferred government funding but Mr Kennedy had emphasized his commitment to the project.
However it has now emerged there definitely had been a reprieve for the rail line.
The extra money will be transferred from the A5 Aughnacloy to Derry road project.
Sinn Féin's Foyle representative Raymond McCartney has welcomed the decision and praised the minister for listening to the views of people in the north west.
He said: "This development will give added confidence to those tasked with planning for the City of Culture 2013 and other events over the coming years."
© UTV News