The train division of Munich-based industrial group Siemens has signed a contract with the Egyptian government to build a 2,000-kilometer high-speed rail network.

As the company announced on Saturday evening, it will deliver 41 high-speed trains, 94 regional trains and 41 freight locomotives.

The contract also includes eight stations and a maintenance contract for 15 years.

"With our latest technology for rolling stock, signaling and maintenance, Egypt will have the sixth largest and most modern high-speed rail network in the world," said CEO of Siemens AG, Roland Busch, at the signing of the contract.

High-speed network to connect 60 cities

Siemens Mobility is working on the mega project with the construction companies Orascom Construction and The Arab Contractors.

The German company's share of the order value is 8.1 billion euros, which includes a 2021 contract for the first route worth 2.7 billion euros.

It is the "biggest order in the history of Siemens," said Busch.

The approximately 2,000 km long, ultra-modern high-speed rail network is to connect 60 cities in the country with trains that can travel at speeds of up to 230 km/h.

According to Siemens Mobility, around 90 percent of the Egyptian population will have access to the new rail network.

With the shift of traffic to rail, the fully electrified rail network will reduce CO2 emissions by 70 percent compared to existing bus or car traffic, the company said.

Egyptian President Abdel Fatah al-Sisi, who attended the signing ceremony, described the new rail network as a "valuable addition to Egypt's transport system" and "the beginning of a new era for the rail system in Egypt, Africa and the Middle East."