Non existing prerequisites for attracting foreign investment in the country from one side and the enforcement of international sanctions on the other during recent years eliminated one of the main channels for attracting investment to the country, a challenge that caused production units to face lack of capital and took away the opportunity of accessing the up to date global technology from domestic producers. Now, with the elimination of international sanctions, officials are looking for ways to provide necessary conditions for attracting foreign investment and in this regard four incentives namely, tax exemptions, regulations aimed at facilitating investment, guarantee of principal and return of the investment, and transfer of land have been considered for applicants for investing in the country.
In addition to the above mentioned incentives, it was also promised to foreign investors that the Iranian market is open to investments from abroad and the stability and security that rules over the country will provide the ground for long-term and lucrative investments for foreign parties. Now, with the elimination of international sanctions and promises given by the officials and also the willingness of large foreign companies to invest in Iran, IDRO (Industrial Development and Renovation Organization of Iran) reveals its intentions to attract 10 billion Dollar investment to Iran until the end of the current year, and in this regard the Organization has attempted to introduce seven lucrative industries for attracting investment. These industries have been categorized in four distinct groups, namely modern industries, petrochemicals, oil and gas equipments and automobiles and parts. In addition to introducing these Industries, support cases have been anticipated for investors and in order to realize these anticipations, this organization has also published a summon for investors. Moreover, IDRO has announced earlier that after the elimination of sanctions it has signed 19 letters of understanding with various companies around the globe and we predict that until the end of the current year 8 or 9 of these letters of understandings will become final and turn into contracts. In a press conference with international media, Chairman of the board of directors of the Industrial Development and Renovation Organization of Iran IDRO pointed out the growth rhythm of the country’s economy during the past 5 months and stated that: in the first five months of the current year we witnessed a 4.4 percent economic growth and according to this data we can infer that the conditions subsequent to the Comprehensive Plan of Action have considerably elevated the country’s strength of industrial investment. By pointing out the improved economic situation of the country and the increase that has taken place in the oil and gas sector, which were accompanied by a boost in the foreign exchange income, he added that the Iranian market is open to foreign capital and the stability and security that governs the country paves the way for long-term and rewarding investments for foreign parties.
After the implementation of the Comprehensive Plan of Action and the elimination of sanctions, more than 800 foreign officials from various levels including presidents, prime ministers, ministers, etc, paid visit to Iran. These delegations examined the Iranian market and its capacities as well as methods for being present in this country and its security status and investment conditions, and they search for reliable partners. Naturally, conclusion of any contract needs proper groundwork and will be time consuming.
Fortunately, nowadays Iran has easy access to advanced technology, export of oil and also gas liquids have been doubled, thus increasing the country’s income and therefore in general we can state that the country’s rhythm of economic growth according the Central Bank of the Islamic Republic of Iran has reached 4.4 percent in the first 5 months of the current year. On the other hand, the World Bank and the International Monetary Fund have predicted a 5.3 percent economic growth for Iran for the coming year, which promises a positive outlook for the economic situation of the country and can be the result of suitable conditions of the post sanctions period.