Iran Roads and Urban Development Minister Abbas Akhoundi announced signing cooperation agreement on railway development with South Korea. Minister Akhoundi conditioned the cooperation to having a very transparent financial protocol to clarify methods of financial exchanges and its economic justification for Iran. He said that one of the main issues in implementing projects is conditions of financing because Iran has received different proposals from China and European states for undertaking the projects.
For example, we have received a very good proposal from China to electrify Tehran-Mashad Railway,’ Akhoundi mentioned.
The Iranian minister also said that Iran and South Korea signed two MoUs on railway transport cooperation.
Akhoundi further noted that these MoUs envisage the construction of Isfahan – Ahvaz railway line and financing the purchase of 450 rail cars from the Korean company Hyundai Rotem.
Construction of Isfahan – Ahvaz railway line is estimated at a cost of USD 5.1 billion.
Akhoundi also mentioned Iran is ready to cooperate in the fields of smart transport systems, saying that Korean firms can invest in passenger and logistics transport.
South Korean President Park Geun-hye said, during an official visit to Iran, doors were now open for trade with Iran, adding that Seoul is to extend a financial support package worth USD 25 billion for infrastructure investment in Iran.
Photo: Mehr News Agency
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