Shiraz to Bushehr Railway Project

Objective

Part of Iran's strategy to enhance its internal rail network within the larger 7,200 km INSTC framework. The INSTC aims to connect Russia and Northern Europe to the Persian Gulf and India, reducing trade times by 30-40%

Description

A critical infrastructure initiative in Iran designed to connect the inland city of Shiraz to the southern coastal industrial hubs of Bushehr and Asalouye on the Persian Gulf. The purpose of the project is to construct a 250 km section of a 446 km railway that runs from Shiraz to Bushehr. The 250 km section includes 13 km of tunnels and 2,600 bridges. The project’s earthworks include 17 million cubic meters of excavation and 13 million cubic meters of embankment.

History

In 2018, a deal was signed with a Chinese company to build sections of the line. Additionally, the AidData website indicates a 446-km Shiraz-Bushehr rail project was supported by a 4.4 billion RMB loan from the Chinese government through an EPCF (Engineering, Procurement, Construction, and Financing) arrangement.

Finance