Iran and Kazakhstan sign $25 million transit deal

Hossein Abbasnejad, director-general of Ports and Maritime Organization in Hormozgan province, announced that Iran and Kazakhstan have signed a $25 million transit deal. The agreement includes a two-year construction period followed by 25 years of operation. Preliminary understandings with the Kazakh side have now been formalized into a binding contract.

The logistics center will be established at Shahid Rajaei port, Iran's largest container and cargo facility on the Persian Gulf. This port will serve as a transit hub for Kazakh goods moving through Iranian territory. The deal is part of Iran's broader push to expand its role as a regional transit corridor, particularly along the International North-South Transport Corridor (INSTC), which links the Indian Ocean to Central Asia and Russia.

The agreement comes as Iran resumes normal trade operations following the lifting of the U.S. naval blockade and the reopening of the Strait of Hormuz under a recently signed agreement. Exports via southern sea routes restarted last week, with the first ships departing for markets in Persian Gulf littoral states.

According to Mehr News Agency, the deal is expected to boost bilateral trade and enhance connectivity between the two countries.