Iran and Russia sign an agreement to build a railway line boosting the North-South Trade Route initiative

Russian President Vladimir Putin and his Iranian counterpart, Ebrahim Raisi, witnessed via video link today, Wednesday, the signing of an agreement to finance and build a railway in Iran, as part of plans to establish an international transport corridor linking the north and south.

The railway line between the cities of Rasht and Astara is seen as an important link in the international corridor, which aims to connect India, Iran, Russia, Azerbaijan and other countries by rail and sea.

Russia says this corridor can rival the Suez Canal as a major route for global trade.

Putin said that the unique north-south transport route - of which the Rasht-Astara railway will become a part - will contribute to a significant diversification of global transport flows.

He added that the railway line - which extends 162 km along the Caspian Sea coast - will help connect Russian ports on the Baltic Sea with ports.

Iran bordering the Indian Ocean and the Gulf.

In turn, the Iranian president said that this agreement is undoubtedly an important and strategic step in the field of cooperation between Tehran and Moscow.

Western sanctions imposed on Russia and Iran have pushed the two countries to strengthen their political and economic relations, and both countries say the sanctions are unjustified.

Since 1979, the West has imposed numerous sanctions on Iran, which has about a quarter of the oil reserves in the Middle East, and its economy has been paralyzed. The West has also imposed another set of restrictions on the Iranian nuclear program, and imposed sanctions on Russia because of its war in Ukraine.

The agreement between Russia and Iran, with support from India, will make this initiative one that would compete with the Suez Canal, reducing the strategic importance of the Suez Canal and revenues for the Egyptian government. Aware of this connection between these trade systems, Egypt and Iran increased their low level talks to repair their diplomatic relations that have been downgraded since 1979.

The North-South Trade line is not isolated from the China-backed Belt and Road initiative, in fact it is seen as a complementing project. For that to be true, Pakistan must be integrated into this project. It is no coincidence then that the Iranian president, hours after signing the agreement with Putin, visited the border with Pakistan to emphasize two critical things: The integration of Pakistan into the Asia economy anchored by China and Russia and to address the security issue in the border with Pakistan, which recalls the increasing role now played by the SCO in regional security matters.

 

To these ends, Iranian President Ebrahim Raisi said today, Thursday, that he is in the process of implementing joint border projects between Iran and Pakistan. He added during a joint press conference with Pakistani Prime Minister Shehbaz Sharif in Sistan and Baluchistan province on the sidelines of the opening of the electricity transmission project to Pakistan that part of the border markets with Pakistan has not been activated so far, and its problems will be resolved during this visit.

He pointed out that his country's government will also follow up the implementation of economic and tourism projects and border transportation.

The Iranian president said: "We will take more field steps to exchange energy and electricity with Pakistan, in addition to energy exchange and the launch of a joint border market between the two countries."

He confirmed that 6 other joint markets are being planned to be launched soon. He added that today's meeting, with the participation of the Pakistani Prime Minister, carries an "important message that borders can contribute to enhancing security between the two countries."

He pointed out that Pakistan's security "is the security of the entire region, which is our security, and the presence of foreigners in the region will not solve its security problems."

Raisi also touched on the outcome of the American presence in Afghanistan, saying that this presence contributed to "killing, wounding, disabling and displacing many of the people of this country."

For his part, Sharif said that Iran and Pakistan are "two brothers and two friends who share a common culture and history."

He added, "Means of strengthening economic relations in the future were discussed," stressing: "We will overcome all challenges and difficulties to achieve this goal."

Earlier, Iranian President Sharif met at the Bish-Mand joint border, as the two sides discussed developing joint trade relations.

Raisi and his accompanying delegation arrived Thursday morning in the province of Sistan and Baluchestan to follow up on a number of development projects in the province.

During this visit, Raisi followed up on the progress made in the strategic project to develop the "Makran coasts", and the inauguration of the water pumping process in the "Kahir Dam" and the operations of extending water to a number of villages in this province.

He pointed out that the development of the province of Sistan and Baluchestan is one of the priorities of the government's plans, adding: "The plans and programs set for this province, especially the Makran region, will be followed up."

Upon his arrival at Konark Airport, Raisi noted that the beaches of Makran have a lot of "good potentials for the economy, tourism and maritime economy."

He added, "Thanks to the victory of the Islamic Revolution, good measures and steps were taken in developing the province and developing its tourism and economic potential."

He stated that one of the objectives of this visit is to meet Pakistani Prime Minister Shehbaz Sharif on the former borders of the city of Rask, and to follow up on planning economic projects, road tourism and infrastructure for the province of Sistan and Baluchestan.