The 470-kilometre (292-mile) railway will take five years and cost up to 1.2 billion dollars (892 million euros) to be financed by the World Bank and the Asian Development Bank.
"The railway construction will amount to a restoration of the historic Silk Road," Behbahani said at a press conference after signing a memorandum with his Armenian counterpart, Gurgen Sargsian.
"The railway will ensure transport links from South and Central Asia, the Far East, through Iran and Armenia's territory towards Georgia's Black Sea ports," Sargsian said.
