Shafaq News- Tehran

Iran’s Isfahan province is seeking deeper long-term investment, trade, infrastructure and municipal cooperation with Iraq’s Karbala, Governor Mahdi Jamali-Nejad said on Saturday.

Meeting a delegation from the shrine of Imam Hussein and Karbala officials, Jamali-Nejad called for greater participation by Isfahan’s private sector and business chambers in joint economic and industrial projects.

He said Isfahan has supported transport, accommodation and municipal services for Arbaeen pilgrims in Iraq and would continue doing so.

The two cities are also moving toward a formal sister-city agreement. Isfahan municipal officials said in August that implementation arrangements had been completed and a signing date would be announced later.

Iraq’s imports from Iran fell nearly 55% year-on-year to $2.3 billion in the first quarter of 2026, even as the two countries continued talks on expanding trade, investment and private-sector participation.