Iran deal's foreign investment impact would be limited
Wednesday, July 14, 2021
Significance
Indirect negotiations with the United States over a mutual return to the 2015 nuclear deal are facing delays while the transition team of President-elect Ibrahim Raisi moves into place. Meanwhile, questions are mounting over the likely impact on foreign investment, even if most sanctions are lifted.
Impacts
- The government will prioritise efforts to invite investment in sectors where it has inadequate access to technology.
- The government's reported use of frozen assets as central bank borrowing collateral would limit the fiscal impact of their release.
- If it remains unblocked, the Clubhouse app could increase popular involvement in economic debate.