The company, which runs Disneyland Paris, is to invest four billion francs (£400m) in the new park, which will open in the spring of 2002.

It will raise the cash by an increase of capital of 1.5bn francs and a long-term loan of 2.5bn francs from French savings and investment group CDC.

The second theme park is to be based on the cinema, cartoons, television and new technology, the company said. Attractions are expected to include a film stunt show, a rock-music based rollercoaster and demonstrations of animation and special effect techniques.

The park is expected to create nearly 5,000 jobs.

The move to open a second park on the same site is in line with Walt Disney practice elsewhere, where two or three parks are located together, to increase the revenue from visitors.

In its original agreement in 1987 with the French public authorities, Euro Disney foresaw the development of a second theme park at the latest by 2011.

Despite a rocky start, Disneyland Paris has become Europe's most popular tourist draw, with 12.5m visitors last year.

Euro Disney said it expects another four million visitors to be drawn to the new park once it is fully up and running.

Euro Disney sales rose 4% to £445m in the nine months to June, as spending and hotel occupancy rose.