Iran plans to invest $25bn over the next ten years in the modernisation and expansion of its railway network.
The investment is expected to extend Iran Railways’ track length from the current 15,000km to 25,000km by 2025.
The upgrade would support the efforts of the country to align with the regional rail networks in the Persian Gulf and the subcontinent to Central Asia.
Iran’s infrastructure will connect to China’s Silk Road through the International North-South Transport Corridor.
The country plans to invite domestic and international investors to bid for the contracts.
The Islamic Republic of Iran Railways managing director Mohsen Poursaeed-Aqaei was quoted by the Tasnim news agency as saying: "We have defined about $25bn of rail projects, for which we have prepared incentive packages to attract domestic and foreign investment."
Iran is spread over an area of more than 1.6 million square kilometres, but its rail network accounts for only less than 11% of the country’s overall transportation.
Iran Minister of Industry, Mine and Trade Mohammad Reza Netmatzadeh was quoted by Press TV as saying that the country needs $1.5bn of annual investment in the sector over the next six years.
Recently, Iran’s Deputy Transportation Minister Valiollah Afkhami-Rad noted that they are interested in expanding its intercity transportation by creating a high-speed rail using Japanese technology.