Ferrovie dello Stato (FS), an Italian state-run company, has signed an agreement with Iran’s Ministry of Transport aimed at developing the Islamic republic’s railway network, a report said.

“We have held talks with China and some European countries for launching high-speed rail on affordable budget; I hope the talks will yield positive results,” said Abbas Akhoundi, Iran’s minister of transport, who signed the deal, reported Trend News Agency, citing Irna.

“The Iranian republic intends to strengthen the country's infrastructure, and is considering 10,000 km of railways, thousands of kilometres of motorways, as well as ports and airports, and is in favour of partnerships between the public and private sectors, so the market is opening,” said Graziano Delrio, Italy’s minister of infrastructure.

FS is likely to work on the high-speed line between Tehran, Qom and Isfahan, the report said.