TEHRAN, March 1 (Xinhua) -- Iran and Switzerland have signed a contract worth 1.3 billion U.S. dollars for the construction of 960 subway wagons for Iran, local media reported Thursday.
The wagons will be used for the Iranian capital Tehran and the city of Karaj, the Financial Tribune reported.
The deal was signed between the Industrial Development and Renovation Organization of Iran and the Swiss company Stadler Rail Group.
The signing ceremony was attended by Swiss Ambassador to Iran Markus Leitner, and Mansour Moazzami, deputy minister of Iran's industries, mining and trade.
Stadler Rail Group will finance the project with a 14-year payback period and is guaranteed by the Swiss Export Risk Insurance.
Based on the agreement, the Swiss side will transfer the required technical know-how to Iran.
Tehran and Karaj will have 728 and 232 of the wagons respectively produced under this agreement.