IRNA - The Islamic Republic of Iran and the Czech Republic on Sunday signed a memorandum of understanding (MoU) to expand economic cooperation in energy, automaking and rail transport sectors.

The MoU was signed between Industrial Development and Renovation Organization of Iran (IDRO) and the Czech Ministry of Industry and Trade on Sunday.

IDRO was represented by its Executive Board Chairman Mohammad Baqer Ali who signed the agreement with Czech Deputy Minister of Industry and Trade Eduard Mu?ický in Tehran on Sunday.

The MoU will pave the way for creation of a working group between the two countries.

The two officials agreed to use the maximum potential of both sides government and private sectors in automaking, rail transport, new technologies as well as energy industries.

The MoU also calls for launching of Iran-Czech joint-venture companies to boost industrial investment opportunities and renovate the industrial and manufacturing process-shipbuilding.

IDRO's head of executive board, who is also deputy minister of industry, mine and trade, also urged that the two governments to facilitate effective communication between their Small and Medium-sized Enterprises (SMEs).

Mu?ický had earlier said that Czech companies are willing to broaden cooperation in Iran's aluminum, power plant and food sectors.