EghtesadOnline: The Islamic Republic of Iran Railways signed a €1.2 billion deal with its Italian counterpart late Tuesday for establishing a high-speed railroad between the Iranian cities of Qom and Arak.
The agreement was formally signed during the visit of Renato Mazzoncini, CEO of Italy’s state railroad company Ferrovie dello Stato otherwise known as FS, and an accompanying delegation to Tehran, IRIR told Financial Tribune.
FS signed two other deals, one pertaining to scientific cooperation between the two rail companies and another for holding training courses for IRIR personnel.
The Italian company signed a preliminary agreement with IRIR in February to develop Iran’s railroad system. The deal includes up to €5 billion ($5.65 billion) in export credits from Italy for Iran, according to Financial Tribune.
Iran has 3,500 kilometers of railroads under construction. The country’s 20-Year Vision Plan (2005-25) stipulates that the number of passengers using rail transportation in the country will increase from the current 25 million to 65 million per year.