Will India Unravel the Railways of Eastern Iran?

Following the finalization of two economic agreements between Iran and Indian investors that led to investments in the Chabahar port, it is now reported that the Indian side intends to enter the Chabahar railway project. Given the budget constraints in the construction sector due to what is termed low government revenues, and on the other hand, Iran's need to develop transportation infrastructure, attracting foreign investments has become a priority. Meanwhile, Iranian contractors in the construction sector have turned to work in neighboring countries such as Iraq and Azerbaijan 'out of fear of the Ministry of Roads and Urban Development's broken promises' in meeting its obligations. In this context, the government has entered negotiations with foreign investors to connect Iran's major strategic ports to the central railway network and land borders. Especially after the JCPOA, efforts have increased with hopes for breakthroughs in this area. However, given the banking restrictions on money transfers, which even the JCPOA could not overcome, finding foreign investors is not easy. Nevertheless, efforts to involve Indians in the railway projects of southeastern and eastern Iran are still ongoing. Considering that Chabahar is the shortest route connecting Central Asian countries to the Persian Gulf and the Sea of Oman, as well as India to Afghanistan, it holds significant importance for foreign countries. Based on this, whispers of Indian investment in the Chabahar railway are being heard. Iran has long had plans to connect Chabahar to the Zahedan railway network, which could subsequently connect to Iran's land borders with Turkmenistan and Afghanistan. Although it has been quite some time since the execution phase of the Chabahar railway began. According to ISNA, Khairullah Khademi, the Deputy Minister of Roads and Urban Development, stated regarding the entry of Indians into the Chabahar railway project: 'An Indian company is ready to invest $1.5 billion in the Chabahar port railway and has also presented its plan in this regard to Iran. Iran has also announced its readiness to conduct further investigations in this area after issuing some changes such as the need for one-time investment in the project.' According to this deputy minister, 'Currently, this Indian company needs to obtain the necessary approvals from the Indian government, and if the necessary agreements are made, the final decision will be made during the visit of Iran's Minister of Roads and Urban Development and meetings with the railway and trade ministers of that country.' The Chabahar railway is one of Iran's railway projects that is set to be constructed with the help of foreign investors. Iran plans to invest over $15 billion in its railway lines and rail transport with the assistance of foreign companies. However, the Chabahar railway is not the only transnational railway project in Iran; the north-south railway for connecting Russia to the Persian Gulf and the railway line from Iran to China are other transnational projects underway. Abbas Nazari, the Director General of International Affairs of the Iranian Railways, stated: 'Extensive planning has been done for a direct railway connection to China, and preliminary negotiations and political issues have been resolved, and the parties are negotiating financing to make this project feasible.' Iran currently has a 10,000-kilometer railway network that is planned to reach 25,000 kilometers. In the development path, 7,500 kilometers of what has been planned is underway.