The World Bank has agreed to provide €1 billion ($1.18 billion) to electrify the rail network in Iran, the head of the Iran’s regional railway authority was quoted as saying in a media report.

"The World Bank has approved to provide one billion euros as finance for the electrification of the railway ... that starts in Garmsar in Semnan Province and continues to the city of Gorgan in Golestan Province," Yusef Geranpasha was quoted as saying by Iran Daily, which cited Irna.

Russia and Iran signed an agreement worth €1.2 billion in November 2015 to electrify the Garmsar to Inche Burun route in Iran.

Geranpasha said implementation of the Iranian-Russian contract will start soon after the World Bank's decision, and may take three years to finish.

The project will cover 32 stations and 95 tunnels, 7 traction substations, 11 section pillars, 6 duty posts of the contact station and power supply administration building.