Iran is advancing trade ties with neighboring Afghanistan in its search for economic benefits, although it continues to hold off on recognizing the Taliban regime in Kabul. Iranian officials have increasingly been reaching out to their Afghan counterparts to implement pending bilateral economic projects.
In 2021, Iran and Afghanistan concluded several important economic agreements, including one for Tehran to build roads in eight Afghan provinces to improve trade and transportation.
Following up on the roads offer, Seyed Hossein Mirshafi, adviser to Iran's Minister of Roads and Urban Development, said in a Nov. 21 interview that Tehran is ready to invest $6 billion in Afghanistan's transportation infrastructure.
The Taliban’s Ministry of Public Works has also discussed railway connections with Iranian officials. In May, Afghanistan’s first transit rail cargo under the Taliban left for the Razi border crossing, in northwestern Iran, en route to Turkey loaded with 10 freight wagons of coal. A strategic link for trade between Iran and Afghanistan, this route has the capacity to carry 5 million tons of goods and 1 million passengers annually.
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