The much awaited multi-billion dollar Disney theme park in Shanghai is soon expected to receive a green signal from the Chinese government, a report said on Monday.

Shanghai Mayor Han Zheng informed media that there would be an announcement later this week, but did not confirm the final approval of the plan. He said,” What I can say at this moment is that we will hold a press conference to announce the details of the project in the near future".

There had been rumors that Shanghai could soon announce final plans to build a park with Walt Disney during the visit of US President Barack Obama's to China later this month.

For many years, Disney has been showing intermittent efforts to build a park in Shanghai due to large population and driving proximity to its major cities. The cost of building the park is reported to be around $3.6 billion.

Disney is successfully operating in Hong Kong where it opened a Disney theme park in 2005. Analysts believed an agreement with Disney could be a two-sided story with U.S. cultural influence and no job losses.

China would get a boost in the leisure sector with setup of mega entertainment park.