Domestic Economy

Tehran-Ashgabat Eye $60b Transactions

Tehran-Ashgabat Eye $60b TransactionsTehran-Ashgabat Eye $60b Transactions

Iran and Turkmenistan are determined to increase their annual transactions to $60 billion in 10 years.

Iran's President Hassan Rouhani made the above statement in a joint press conference with Turkmenistan’s visiting counterpart, Gurbanguly Berdimuhamedow, on Sunday.

“I must thank and welcome the Turkmen president and his accompanying delegation who took up my invitation to visit Iran for the Third Summit of Gas Exporting Countries Forum,” he said.

The Iranian president noted that the two sides have time and again stressed the importance of cementing ties and improving cooperation in gas, electricity, road and rail transportation, agriculture and tourism sectors.

“We also discussed the possibility of cooperation with third countries on water imports through Turkmenistan, legal rights of the Caspian Sea and further exploitation of its resources,” Rouhani said.

The two heads of states also underlined the importance of piecing together a comprehensive document on other issues of mutual interest such as culture, science, art as well as the fight against terrorism and drugs.

“Energy security, transportation and transit were at the core of our talks today,” said the Turkmen president.

Referring to the strategic geo-economic situation of Turkmenistan and Iran, Berdimuhamedow said other countries can connect to the Persian Gulf, Europe and the Pacific Ocean via these two states.

“Trade between Tehran and Ashgabat is on the rise. It is worth mentioning that their transactions stood at more than $2.6 billion during the past nine months, that is two to three times more the figure registered last year,” said.

The Turkmen president also viewed his negotiations with his Iranian counterpart as constructive and noted that he places high value on such talks. He also invited President Rouhani to attend a ceremony on the occasion of the 20th anniversary of the Neutrality of Turkmenistan on December 12.

Nine MoUs

Iranian and Turkmen ministers and top government officials signed nine memoranda of understanding in the following fields: medicine, post, sports, roads and transportation, urban development, railroad, standards and broadcasting as well as the construction of Merv-Sarakhs power transmission line.

"Completion and exploitation of the 400-kV line top the Energy Ministry's agenda and a new round of negotiations was held in Tehran with the Chairman of Turkmenenergo State Electric Energy Corporation Rasul Annayev," deputy energy minister, Houshang Falahatian, was quoted as saying by Mehr News Agency last week.

The construction of the line has been completed in Iran up to Turkmenistan's border and plans have been made to obtain the licenses to complete the rest of the line inside Turkmenistan.

Feasibility studies of the 400-kV Merv-Sarakhs power transmission line started seven years ago and the 170-kilometer line was completed in four years at an estimated cost of $100 million.

Iran will complete the rest of the project (165 km) in Turkmenistan's territory as soon as a contract valued at $100 million is signed by the two sides.