TEHRAN, January 12 - Iran and Indian signed a Memorandum of Understanding (MoU), based on which Iran would buy 200 locomotives from India.

TEHRAN, Young Journalists Club (YJC) - India is going to provide $600 million finance for the project.

The MoU was signed during a visit by Iranian Minister of Road and Urban Development Abbas Akhoundi and a delegation to India.

The MoU was inked by Iranian Deputy Head of Railway Company for Planning and Economy of Transport Affairs Nourollah Beiranvand and Indian Rites Chairman & Managing Director Rajeev Mehrotra.

Some parts of the locomotives would be produced in Iran, Akhoundi said, adding implementing the agreement would take three years at least.