The Islamic Development Bank (IDB) has approved a $220m loan to TCDD, Turkey's state railway company, to finance its fleet expansion plans.
TCDD also signed a contract with Hyundai Rotem to purchase 80 electric locomotives and a simulator from Hyundai at a cost of $312.7m to replace its ageing fleet.
The first eight locomotives will be built at Hyundai Rotem plants and the rest will be produced in Turkey in the next four years, according to worldbulletin.net.
The deal with Hyundai includes licensing and technology transfer, where TCDD will use technical information, produce locomotives in Turkey as well as all IDB-member countries, and sell them for ten years.
