In the master transportation plan for Greater Cairo conducted in 2002, a rail line was suggested to connect Ain Shams district by 10th of Ramadan city. Constructing such a large project requires a detailed assessment before taking the decision especially in a country with scarce resources such as Egypt. Therefore, the aim of this paper is to introduce a complete financial and economic evaluation for this project with a special concentration on the calculation of the social benefits using formulas that suit the Egyptian conditions. This is to help the decision maker to take the right action. The paper started with the description of the proposed scheme. This is followed by a discussion regarding the importance of this project appraisal. A detailed calculation and analysis of the project financial and social costs and benefits were then addressed. Results showed that the project is infeasible financially but it is highly feasible economically. This guides the government to encourage the investment in this and other similar projects. The value of the government subsidy depends on the difference between the financial and economic results.