Economic overview: Iran newspapers talk post-sanctions era

Economic overview: Iran newspapers talk post-sanctions era

Baku, Azerbaijan, Jan. 14

By Farhad Daneshvar - Trend:

The reports regarding the imminent removal of sanctions and its impact on the country's economy have triggered a wave of articles on the topic in Iranian newspapers.

Apparently, the long awaited international talks on Tehran's controversial nuclear program are finally going to yield positive results and open a new chapter in Iran's economy.

Tehran Stock Exchange (TSE) has become bullish, and foreign currency prices against rial, Iran's national currency, have dropped after breaking reports on Jan. 13 regarding the implementation of the Joint Comprehensive Plan of Action (JCPOA aka nuclear deal).

At this point, high-ranking Iranian officials expect the sanctions against the country to be lifted within days.

Some reports in the Iranian press suggest that the possible removal of sanctions and the implementation of the JCPOA is the main reason for heating up in the Stock Exchange. However others believe that the index may have increased due to market activists being excited over the reports on possible removal of sanctions, which also predicted that the index may fall as there are various factors affecting the market such as oil prices, petrochemical products and also the unclear fate of Iran's budget plan for the upcoming fiscal year to start March 21.

In the meantime, Iranian banking system is operating with its "hands tied behind its back", as it still seeks to get re-connected to SWIFT, as well as use letters of credit transactions (LC) in full once the JCPOA is in action.

The liquidity level has dropped in the country and Iran's economy currently suffers from the lack of access to liquidity - an obstacle to improve the country's economy, which is expected to be resolved as about $30 billion of the country's frozen assets in the international banks will be released after the removal of sanctions.

TSE welcomes JCPOA

On Jan. 14, Taadol Daily put the topic on the front page, suggesting that various sectors of Iran's economy are planning to boost their activity after the removal of sanctions. Saying that the country's banking system has dragged behind international financial developments during the sanction years in terms of updating its software and hardware systems, Taadol suggested that Tehran needs to catch up with international banking developments.

While the country's civil aviation needs to renew its aging fleet, Iranian commerce sector is preparing a new proposal on pricing goods for the post-sanctions era. Meanwhile, the Oil Ministry has been preparing for the post-sanctions era over the past two years, proposing a new model of oil and gas contracts, as well as getting ready to pump its crude oil in the market, Taadol added.

Gostaresh-e Sanaat Daily published an article headlined "Tehran Exchange Market welcomed JCPOA", which said that after a long recession at the Tehran Stock Exchange (TSE), its main index rose by 675 points to hit 63,516 on Jan. 13 - the highest point reached on the index over the past three months.

Monopolization vs readiness for foreign investments

According to Jahan-e Sanaat, a group of experts have questioned the capacity of the country's economic regulations and infrastructures to welcome international companies, calling for reforming the country's economic structures to lure foreign investment.

Jahan-e Sanaat suggested that releasing blocked assets, possible exports of oil and its products, reconnecting to SWIFT and using LC, partnership with international companies as well as establishing the branches of foreign banks in Iran are expected in the post-sanctions era, and that all will contribute to the improvement of economy as well as climbing out from the current economic recession in the country.

However Iran needs to review its economic regulation and infrastructures for creating competition between companies, both domestic and foreign. Iran's heavily monopolized car-making industry was brought up as an example.

Farhad Daneshvar is Trend Agency's staff journalist, follow him on Twitter:@farhad_danesh

Turkey's export to D-8 countries down from Jan. through Apr. 2020
Turkey's export to D-8 countries down from Jan. through Apr. 2020
Chamber of Commerce talks problems created by ministries' merger in Iran
Chamber of Commerce talks problems created by ministries' merger in Iran
Iran's export via borders triples
Iran's export via borders triples
Loading Bars
Latest
Turkmenistan's Dashoguz region growing foreign potatoes
Italy may use new Kazakhstan-tested platform to track quarantine compliance
Azerbaijani president visits military unit in Aghdam
Baku Stock Exchange pays interest on bonds of Azerbaijan Mortgage and Credit Guarantee Fund
Georgia, Estonia discuss cooperation in field of transportation, tourism
Agriculture sector digitalization leads to significant money savings in Kazakhstan
Turkey's export of cars abroad from January through May 2020 slips
Airlines cut fares to help boost May traffic
Export of Turkey's export of ready-made clothes down compared to 2019
Georgia expects average cherry crop
Netherlands, Azerbaijan could create train connection
Azerbaijan developing new alternative energy project
Uzbek textile products in great demand on French market
Saudi, Russia reach deal on oil cuts, raising pressure for compliance
German bans digital doppelganger passport photos
Textile industry of Uzbekistan - fastest growing sector of country's economy
Quarantine regime to be strengthened in Kazakhstan’s Almaty city
Azerbaijani enterprise starts exporting canned goods to US
EU implements new projects to support vulnerable groups in Georgia
Payments of insurance claims by four Azerbaijani insurers decline
Export of Turkey's leather products to int'l markets down
Azerbaijani Azexport portal talks Facebook Shops integration
Kazakhstan's Samruk-Kazyna decreases its share in Kazatomprom
ADB continues to support Azerbaijan’s efforts to diversify its energy mix
Turkmenistan’s Turkmenhimiya opens tender to buy various equipment, spare vehicle parts
Turkey's export of wood, furniture abroad from January through May 2020 plummets
Coronavirus negatively affects almost all sectors of Georgian economy
Kazakhstan records decrease in money transfer volume
Oil, gas exploration work to be held throughout Turkey
Uzbek-Korean JV opens tender for procurement of pump repair kit
Hajj pilgrimage from Azerbaijan may not take place this year
Azerbaijan's Agricultural Insurance Fund talks managing company branding
Azerbaijan's pomegranate association aims to increase export volumes
BoE says advising banks to prepare for possible no-deal Brexit
16 insurance companies increase payment of insurance claims in Azerbaijan
Belgium to open bars and restaurants but not nightclubs
Azerbaijani president attends inauguration of Tartar branch of “Azerkhalcha” OJSC (PHOTO)
GNERC: Over 20% of business entities provided with internet services in Georgia
Cargo transshipment through Turkey's Antalya port disclosed
Turkey's export of grain, legumes to int'l markets marginally up
Exhibition of historical Baku photos opens on Baku boulevard (PHOTO)
Azerbaijani pomegranate association reveals new export targets
Turkey's export to D-8 countries down from Jan. through Apr. 2020
Turkmenistan’s Dashoguz region completing preparations for wheat harvesting
Sumgait Technologies Park talks export of aluminum to Central Asia
Cargo transshipment from Greece via Turkish ports disclosed
State share of Kafolat Insurance Company sold in Uzbekistan
Azerbaijan's Central Bank talks problematic insurance companies
Uzbek Ipak Yuli Bank, EBRD increasing their support to entrepreneurs of Uzbekistan
Uzbek-Korean JV buys sockets, switches via tender
Bank loans on rise in Azerbaijan
Turkey, US trade turnover suffers drop in April 2020
Azerbaijani president opens newly renovated highway (PHOTO)
Turkmenistan evaluates new varieties of cotton
Net revenue of Kazakhstan's KazMunayGas plummets in 1Q2020
Turkish ministry reveals cargo transshipment through local Hopa port
Azerbaijani president launches newly renovated 'Tartar' power substation (PHOTO)
Chamber of Commerce talks problems created by ministries' merger in Iran
Coronavirus body count in Iran surpasses 8,000
Kazakh uranium producing company opens tender for equipment repair
Uzbekneftegaz, LUKOIL to create joint venture to develop fields in Uzbekistan
Azerbaijani president attends opening of Tartar Olympic Sports Complex
Kazakhstan's oil & gas company to buy spare parts for piston pumps via tender
Uzbekistan supports local tourism sector
Demand for land plots in suburbs increases in Georgia
Oil tops $40 for 1st time since March on OPEC cuts, demand recovery
Azerbaijani president inaugurates State Symbols Museum in Tartar (PHOTO)
Germany to lift travel ban for EU, Schengen countries and UK from June 15
Turkish general directorate to implement several energy projects
Azerbaijani president arrives in Tartar district for visit (PHOTO)
Kazakh national currency against US dollar rate breaks three-month record
Data on cargo transshipment through Turkish Gulluk port revealed
Georgian peaches to appear on Russian shelves soon
WB: Georgia ranks 24th in world in terms of remittances
Nagif Hamzayev: Everyone must be mobilized against those who violate rules of quarantine regime
Gold price lowers in Azerbaijan on June 3
Azerbaijani Veyseloglu Group to launch digital transformation project
Kazakhstan's Kyzylorda to apply innovative rice growing technology
Uzbekistan reveals data on state budget revenues of 1Q2020
BP to have Operator Workbench on all its offshore platforms in Azerbaijan
Turkey-Ukraine trade turnover drops
Social payments increase in Azerbaijan
Azerbaijan accounted for 7% of BP liquids output worldwide
Kazakhstan-based subsidiary of Russian bank decides against paying dividends
India triples import of Kazakh-made products
Turkmenistan launches pilot program to support start-ups
OPEC+ deal will see higher prices but muted levels of demand
No sign of peak oil demand in decade to come
Uzbekistan to start production of Volkswagen cars
Azerbaijan's oil up in price
Turkmenistan Railways passes new rules regarding passenger transportation
Non-cash transactions in Kazakhstan up due to coronavirus-related restrictions
Turkey exempts Azerbaijani citizens from visa
Turkish electricity company moves forward with its business in Uzbekistan
Turkmenistan to intensify co-operation with Russia's KAMAZ company
Geostat reveals inflation rate in Georgia
Georgian fruit processing company exports products to Russia
Weekly review of Georgian capital market
Georgia reports new COVID-19 cases
Uzbekistan aims to improve its position in international ratings
All news