TEHRAN- Russian Agency for Export Credit and Investment Insurance, known as Exiar, signed a memorandum of understanding (MOU) with the Islamic Republic of Iran Railways, known as RAI, to provide €3 billion finance on the joint manufacturing of railway wagons and locomotives.

The related project includes manufacturing of 20,000 freight wagons, 1,000 passenger wagons and 350 freight locomotives, according to the portal of Transport and Urban Development Ministry.

The MOU was signed at the place of RAI in Tehran on Monday by RAI Head Saeid Mohammadzadeh and Exiar Chief Executive Officer Peter Fradkov. Iranian Transport and Urban Development Minister Abbas Akhoundi also attended the signing ceremony.

As accorded, the €3-billion investment will be made in a course of five years.

HJ/MA