Iran and Russia have signed an agreement to finance and construct a railway line between the cities of Rasht and Astara (northwestern Iran) The line will be part of a transport corridor aimed at linking Russian ports with Iranian ports overlooking the Gulf waters. Western sanctions on Iran have blocked the completion of the north-south transport route for more than two decades.
Iran describes the agreement as "an important and strategic step in bilateral cooperation between Tehran and Moscow" Russia says the corridor can compete with the Suez Canal as a major route for global trade.