TEHRAN, Nov. 16 (Press Shia Agency) –According to a permit released on Thursday, Iranian government allowed the economy ministry to issue guarantees for Chinese Exim Bank for financing Tehran-Mashhad rail electrification.

Iran’s First Vice-president Es’hagh Jahangiri signed a decree on based on Sunday decision of cabinet permitting the Iranian economy ministry to issue financing guarantees on behalf of the Iranian government.

The Iranian Bank of Industry and Mine and the Export–Import Bank of China (Chexim – China Exim Bank) will jointly finance the electrification project of Tehran-Mashhad rail route.

The railway between Tehran and Mashhad is one of the busiest train routes in the country mostly because of significant traffic of pilgrims visiting the Iranian ester holy city where the Shia 8th Imam is buried.

The ministry is given permission to issue guarantees up to ¥10,079,127,539.73 for the total of interest free loans and trade loans.

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