Russia signed a major investment deal with Iran today. 

Russia will invest $40 billion in Iran’s oil industry, building upon the $4 billion the Eurasian country has already invested in the sector. The move follows a cooperation agreement between Russian companies, including the gas giant Gazprom, and the Islamic Republic. Private Russian companies will invest in the Iranian oil sector, and details will be discussed between officials in both countries, the official Islamic Republic News Agency reported today. 

The announcement came during Russian President Vladimir Putin’s visit to Iran today. Putin met with both Iranian President Ebrahim Raisi and Iran’s Supreme Leader Ayatollah Ali Khameini. Putin and Raisi discussed bilateral cooperation and the negotiations over the Iran nuclear deal. 

Why it matters: The investment pledge is a sign of continued Russian support for Iran, particularly in the economic sphere. In June, the two countries agreed to establish mutual trade centers. Earlier this month, Iran facilitated a large cargo shipment from Russia en route to India.