Iran and Russia want to invest 36 billion euros in the INSTC
Iran and Russia claim to be ready to invest around 36 billion euros in the development of trans-Caspain lines along the International North-South Transport Corridor (INSTC). Concerning Iranian investments mentioned on rail freight, they include the purchase of 30 wagons.
Both parties are major players in the development of the INSTC, with Russia owning 35 per cent of the shares while Iran has 34. With its part of the funds, Iran stated it would also buy 5,400 containers and 21 vessels, as was mentioned by Theran Times. These investments will be undertaken by the Islamic Republic of Iran Shipping Line and were announced at a conference at the port of Solyanka, in southwestern Russia.
Iran’s most recent developments on the INSTC
Iran remains quite involved in INSTC initiatives, as the project to build a bridge connecting Azerbaijan with its exclave Nakhchivan via Iran shows. The country has also reactivated a rail connection, in cooperation with Saudi Arabia, from its border with Turkmenistan to its largest port in Bandar Abbas for cargo coming from Russia. This service was interrupted due to a deteriorating relationship between the two countries, given that most cargo is reloaded on ships and taken to the Saudi port of Jeddah.