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China to fund Iranian subway project with frozen cash

23 October 2013 | 0 Comments

23 October 2013

China is to provide funding for a subway project that will link Iran’s Imam Khomeini Airport to the country’s capital Tehran.

The 52km subway will connect IKA, located about 30km southwest of Tehran, to the new Parand City in Tehran.

Speaking at a visit to the project to Iran Daily, Iran’s roads and urban development minister, Abbas Akhoundi, said that China will fund the project with Iranian oil revenues frozen in China.

Financial issues surrounding the project are to be resolved and organised next month.

International sanctions imposed on Iran for failing to comply with the International Atomic Energy Agency’s inspection programme of its nuclear facilities mean that export oil revenues are frozen.

A new subway will connect Iman Khomeini Airport with Tehran (Wikimedia Commons)

Mr Akhoundi also said a township, as well as free and trade zones, will also be established at the airport by 2015.

He stressed that IKA’s Terminal 2 should be completed as soon as possible.

Once complete the new terminal will have a capacity of transferring 20 million passengers per year, which is 3.5 times bigger than the airport’s first terminal.

The project will be implemented with Tehran’s Urban and Suburban Railroad Company and the Islamic Republic of Iran Railways.

Source: Zawya