World  Business and Economic Analysis 


  • German vice chancellor due in Tehran in near future


    German ambassador to Tehran underlining that the two countries enjoy a long, successful and fruitful trade relations, announced German Vice Chancellor Sigmar Gabriel is planning to visit Iran in upcoming days.

    Heading an economic delegation, Michael Baron von Ungern said to IRNA reporter on Monday, Mr. Gabriel who is also Germany's economy minister will pay a visit to Tehran for economic talks and to restore Economic Commission of Iran and Germany.

    Pointing to the recent visits paid by German Foreign Minister Frank-Walter Steinmeier to Iran within 4 months, Ungern expressed satisfaction with the enhancement of relations between Iran and Germany, following the JCPOA implementation.

    "Germans’ presence in Iran clearly indicates the importance they attach to Iran and the issues of Middle East," German diplomat stressed.

    Noting that 10 German high-ranking delegations have visited Iran since the nuclear deal was implemented, Ungern said their greater focus is on the issue of trade relations.

    “Many companies are interested in cooperation with local partners and some think about large investments in Iran now; due to the decades of trade relations between Iran and Germany, many German managers are not stranger to the Iranian market and would benefit from their past experiences,” he added.

  • Germans sign power MoU with Iran




    Iran and Germany’s Medio Energy company have inked an MoU worth about 104 million dollars over construction of two wind and solar power plants in the south of Iran.

    Khuzestan Regional Electricity Company of Iran and Germany’s Medio Energy Invest GmbH & Co. KG have sealed two Memoranda of Understanding (MoUs) with an aggregate total value of approximately 104 million dollars in order to build two solar and wind power stations in southern Iranian cities of Shushtar and Bandar-e Mahshahr.

    Mahmoud Dashtbozorg, Managing Director of Khuzestan Regional Electricity Company, expounded on details of the two agreements with Germans saying “the cooperation agreement with Medio Energy company has been signed in line with development of renewable energy technologies as well as investment attraction.”

    “The deal covers construction and implementation of a 20-megawwat solar power house in Shushtar through direct investment worth 24 million euros in addition to building and operation of a wind power plant in Bandar-e Mahshahr with a capacity of 50 megawatts and value of 80 million euros,” he added.

    The official highlighted that the German investor has agreed to provide technical knowledge, experience, skilled workforce, capital, technical and economic capabilities as well as necessary equipment for construction of the power plants.

    Dashtbozorg asserted that the Iranian side had spared no effort to provide grounds for attraction of domestic and foreign investors to electricity industry of the region with particular attention to the renewable energy sector.

    Also on the sidelines of the MoU signing ceremony, the German investor Andreas Langberg said “in view of Iran’s advancement and capabilities as well as its willingness to launch cooperation over construction of renewable power plants, we are eager to commence activities immediately.”

  • Germans to build petchem plants in Iran



    A fresh round of talks between Iran and Germany’s Siemens was held in Tehran revolving around partnership in petrochemical industries during post-sanction era.
    Siemens AG company of Germany, after returning properties of Iran’s oil industry which had been blocked due to international sanctions, has launched new negotiations with Iran over petrochemical cooperation in the post-JCPOA period.

    Accordingly, delegation comprising high-ranking directors of the German firm have travelled to Tehran and held meetings managers of Iranian petrochemical industries as well as the Association of Petrochemical Industry Corporations (APIC).

    The main axes of talks between the two sides include expansion of bilateral ties as well as boosting activities of the German firm in Iranian petchem industries by equipment and supply of parts to technical and management systems.

    In addition to Germany, Iran has so far inked several Memoranda of Understanding (MoUs) for investment in petrochemical industries with Total of France, BASF of Germany, Japan’s Mitsubishi as well as Germany’s Linde.

    On the other hand, Managing Director of Pars Oil and Gas Company (POGC) Ali Akbar Shabanpour had earlier referred to the release of turbo compressors of Phases 17 and 18 in South Pars field on the part of Siemens Company adding “the frozen assets in Europe and the United Arab Emirates have been freed."

    Meanwhile, Member of the Managing Board of Siemens AG Siegfried Russwurm had also stressed “by the implementation of Iran’s nuclear deal, legal restrictions for the delivery of Iran’s oil properties have been eliminated and the equipment can be transferred to Iran.”

  • Germany’s ADKL inks €2b petrochemical contract in Iran



    Germany’s Giant company  Abels Decker Kuhfuß Lenzen (ADKL) signed a €2 billion contract with Iran’s Masjed Soleyman Petrochemical Industries Company (MIS) on the implementation of a petrochemical project in Iran.

    According to the Shana news agency, this contract, which could be expanded up to €10 billion, was signed by Yousef Davoodi, the managing director of MIS, and Bernd Lenzen from ADKL, in Tehran on May 25.

    Based on the contract, ADKL will cooperate with MIS in providing the funds, transferring the technology and implementing contracts for the project within the framework of engineering, procurement, construction and finance (EPCF).

    This contract was signed during the visit of Garrelt Duin, the state minister for economic affairs and energy of Germany’s North Rhine-Westphalia State to Iran.

    The production control director of Iran’s National Petrochemical Company (NPC) Alimohammad Bossaqzadeh said in April that domestic petrochemical industry requires attracting $77 billion of finance by 2020.

    Meanwhile, NPC managing director Marzieh Shahdaie said in January that the Islamic Republic has developed up 30 new petrochemical projects to be implemented in the post-sanctions time.

  • Germany’s Lower Saxony PM in Tehran to discuss economic ties


    German Prime Minister of Lower Saxony Stephen Weil, leading a business delegation, arrived in Tehran on Saturday to discuss expansion of mutual economic relations with Iran, Hamburger Abendblatt reported on Saturday.

    Weil is in the Iranian capital to meet Iranian Ministers of Science Mohamamd Farhadi and of Industry Mohammadreza Nematzadeh.
    As the German media reported, the SPD politician is the first German Prime Minister who wants to advertise for new business relations between the two countries in Iran as of Iran’s nuclear deal, known as Joint Comprehensive Plan of Action (JCPOA), with P5+1 in June, 2015.
    The agreement, which led in removal of unfair anti-Iranian financial sanctions during the past months, has triggered many European countries, including Germany as one of the most prominent European economic powers, to compete for finding even a small share in the booming Iranian market.
    During the past months, Iranian and German officials as well as businessmen have visited each other’s countries to investigate warmer future relations in different fields.  
    Last week, Iran and Germany signed a memorandum of understanding (MOU) in the field of veterinary health and medicine.
    “A special task force, comprised of Iranian and German officials is formed to vet expansion of further mutual agricultural cooperation,” Iranian Agriculture Minister Mahmoud Hojjati told reporters on the sidelines of his meeting with the visiting German economic delegation in Tehran past Sunday.
    An economic delegation including 20 top German officials headed by the country's Agriculture Minister Christian Schmidt arrived in Tehran last week to confer bilateral agricultural cooperation and in particular future joint agro-venture during a two-day visit.

  • Gov’t Outlines Blueprint to Promote Resistance Economy


    The government has developed 12-point national blueprint to implement the principles of the Resistance Economy aimed at curbing the economy’s dependence on oil export revenues, improve productivity and reduce the government role in the economy, Minister of Economy Ali Tayyebnia told the new parliament Monday.
    Tayyebnia used his first visit to the Majlis to highlight the achievements of President Hassan Rouhani administration and the government's vision to uphold the Resistance Economy–a set of policies proposed by the Leader of Islamic Revolution Ayatollah Seyyed Ali Khamenei to boost the economy based on domestic production and capabilities.
     “The government’s plans aim to achieve a set of notions for the economy, namely: instilling a self-developing and outward-oriented approach, promoting a justice-based economy and fostering efficiency," he was quoted as saying by Majlis News Agency.
    "Fostering a knowledge-based economy" and "instilling transparency and discipline" in financial markets are among other plans the government is pursuing, according to Tayyebnia.    
    He added that each plan includes a group of sub-plans, which are set to help assure "a proper understanding of the Resistance Economy" and guarantee its implementation.
    A specially created office for the Resistance Economy in the government is closely following the process of its implementation,” he said.

    Improving Tax Collection
    Even though the government managed to reduce the share of oil revenues in the annual budget from 42% in 2014-15 to 30% in 2015-16, Tayyebnia said the issue is "still an obstacle for economic development.”
    “The government is planning to finalize the Integrated Taxation System by the end of the current fiscal year in March 2017, in an attempt to detach the economy from oil revenues,” the minster told the lawmakers.
    The objective is to ease tax collection and improve transparency and fairness of its process,” he said adding that the new system would also prevent tax evasion.”
    "The government is also trying to develop downstream sector of the petroleum industry to benefit from domestic potential in oil and gas sectors.”

    Political Stability
    The minister said "political stability" is a prerequisite for sustainable economic growth and called for improving the cooperation and coordination among the three branches of the government.
    “Entrepreneurs and investors are watching us, to see how united we are when deciding economic policies,” he said. “The (future of the) economy is promising, [but] it requires all organizations to work in unison.”
    He referred to stabilizing the foreign exchange market and curbing the runaway inflation as the government’s major achievements during past two years.
    “Measures taken by the government minimized volatility in the foreign exchange market, "he recalled. “Stable markets now make it possible for us to better forecast the situation and plan for the future.”

  • Ground prepared for Iran, Portugal expansion of ties


    Foreign Minister Mohammad Javad Zarif says that ground for expansion of ties between Iran and Portugal is ready, especially in the field of tourism.

    Zarif made the remarks in a meeting with the visiting Portuguese Deputy Foreign Minister Jorge Costa Oliveira.

    He  said that promotion of Persian Language in Portugal is one of the ways to further ties between Iran and the European country.

    Zarif underlined that in the field of economy, settlement of banking problems are among considerable issues.

    We expect more to be done in this regard, so that the Portuguese companies and banks could easily resume activity in Iran, he said.

    Oliveira also underlined teaching both Persian and Portuguese languages in the two countries and said that companies in his country are interests in participating in Iran's market.

    He said that the ground is ready for the two countries to cooperate in different fields adding that the time is now ripe to exploit the potential to enhance ties.

  • Guide on Iranian Taxation System for Foreign Investors


    What is  Iranian Taxation System for Foreign Investors

    Please download following file :

    is your final source for  Project finance and FDI for Middle east and   Iran's Economy ,Q&A for investment in Iran
    If you have any questions,please send your question to: This email address is being protected from spambots. You need JavaScript enabled to view it.

  • Health Companies Ready for Iran





    By Allison Williams

    Iran needs investments in drugs, equipment and hospitals and German health care companies are keen to move forward but waiting to see when sanctions will be lifted.



    HT Health Tec, a German health care company, is all set to start building a hospital in Iran.

    It follows a surprise request made by Iran’s vice health minister Iraj Harirchi during a visit by Bavarian company representatives last fall.

    “When it’s agreed, it could take 24 months to build a hospital with 400 beds,“ Alexander Vonscheidt, a senior sales manager at the company, told Handelsblatt Global Edition. “We’d be part of a bigger consortium working with architects and construction firms. Siemens, Trumpf and Heilbron are other Bavaria-based health companies that could be part of a turnkey project.”

    HT Health Tec builds hospitals, including operating theaters and safety labs, but wound down its business with Iran over the past few years because of sanctions imposed by world powers. Those sanctions were lifted in January following last year’s deal to curb Iran’s nuclear ambitions.

    “Now we want to start again,” Mr. Vonscheidt said.

    After a decade cut off from Western markets, Iran needs everything: trucks, cars, machines, power stations, medical technology and consumer goods, for a population of 80 million. The need for drugs and medical equipment is particularly pressing.

    However, companies from all industries are in limbo as sanctions on Iran remain largely in place, hampering banks’ ability to engage in the country. United Nation sanctions concerning Iran’s nuclear program have been lifted but many imposed by the U.S. government still stand concerning terrorism and human rights, for example, and financial sanctions affect countries beyond the United States.

    “A lot of companies thought that after the nuclear deal, the risk of doing business with Iran was minimal,” said Mark Hibbs, senior associate in Carnegie’s Nuclear Policy Program. “Many of the sanctions remain in place, however.”

    Child, hospital, Iran AP
    Businesses from abroad are ready to move and the sector needs investment. Source: AP


    Blocked Hermes credits are another complicating factor, due to unpaid bills. These are export credit guarantees given by the German government. Under the guarantees, if exporters’ partners don’t pay, their business will be covered.

    Currently, Iran owes €500 million in unpaid Hermes bills, Mr. Hibbs said, adding he expects the governments to resolve this issue but that it is an additional hurdle to business until the credits are available again. “That’s a separate issue but a direct, real-time issue, it’s more immediate for companies that are interested in doing business in Iran,” he said.

    Companies have also found that a much larger share of the economy is run by the IRGC, Iran’s military security organization, than previously thought, Mr. Hibbs noted. Some have claimed that as much as 80 percent of the economy is run by IRGC-related enterprises.

    Another factor is reporting requirements. German companies doing business in Iran and in the United States have disclosure obligations that some of the companies can’t meet. They have to provide details of financial transactions for transparency but many exporting companies found it “extremely difficult to get solid information about creditworthiness and the risks of doing business,” Mr. Hibbs said.

    He noted that at a meeting of smaller and mid-sized companies from Germany, many said they feared negative publicity and the possible effects on their business. “If Iran is portrayed as a rogue state, that could hurt their reputations,” he said.

    “As a German company, we’re under no illusions: Regular business will only start after U.S. banks begin dealing with Iran again,” Martin Herrenknecht, chief executive of a tunnel drilling company of the same name, told Handelsblatt. “Then the German banks follow suit.”

    Drugs made in Iran are cheap but seen as poor quality, according to Djavad Salehi-Isfahani, an economics professor at Virginia Polytechnic Institute and State University who comes from Iran. Sanctions, he noted, add a 30 percent premium on anything imported.

    “People do pay this as there’s a lot of suspicion that Iranian drugs are substandard and ineffective,” he said in an interview.

    Although medicines were exempt from sanctions, Iran’s pharmaceutical sector has faced severe difficulties for years. Sanctions on the country’s banking system meant few pharmaceutical raw materials could be imported and there are shortages, particularly of more advanced medicines, according to Business Monitor International.

        For hospitals and health care institutions, buying a cat scan from the United States was a huge headache because they couldn’t sell them for fear they’d be hunted down by the U.S. Treasury.

    Local manufacturers struggled to make up for the shortages. Looking ahead, Mr. Salehi-Isfahani said he expected local drug companies would try to find partner companies abroad. “This would help convince buyers that the drugs are of high quality,” he said. “If they can convince people the drugs are made abroad and that they are raising the quality standard through cooperation, that’s very important.”

    Health companies from Germany are monitoring the situation. Günther Forneck, a communications manager at drugmaker Bayer, told Handelsblatt Global Edition that the pharma company’s revenues in Iran are only a very small proportion of its overall sales. “We believe our products, particularly our health care and agrarian products, are also needed in Iran and see further business potential as sanctions are lifted,” he said, adding that the company’s planning depended on the concrete way that sanctions were lifted and that Bayer was watching developments.

    Iran’s hospitals also need equipment, which they may find easier to buy in the future than in the past. “For hospitals and health care institutions, buying a cat scan from the United States was a huge headache because (American companies) couldn’t sell them for fear they’d be hunted down by the U.S. Treasury,” Mr. Salehi-Isfahani said.

    Siemens is also looking forward to the Iranian market opening again. “Siemens’ history in Iran dates back to 1868 and we’ll now be stepping up our efforts toward continuing this long tradition,” a Siemens spokesperson told Handelsblatt Global Edition. “We want to support Iran in the future development of its infrastructure such as the energy sector, rail transportation and healthcare.”

    Siegfried Russwurm, a management board member of Siemens who visited Tehran last fall in the same business delegation as Mr. Vonscheidt, said there was a need for a digital link between highly technical university hospitals and satellite hospitals that could be connected through telemedicine and digital methods. “That’s exactly what this country needs and that’s where we want to build up our collaboration,” Mr. Russwurm said in an interview at the time.

    Fresenius, a German health care company that makes medical technology, was also careful to note that health care was not covered by sanctions and that the company maintained relations with Iran supplying medicines.




    “Fresenius Medical Care and Fresenius Kabi do not have any plants or offices in Iran, (but) the pharmaceutical company has supplied Iran with drugs and products exempt from international sanctions for humanitarian reasons,” Matthias Link, a spokesman for Fresenius, told Handelsblatt Global Edition. “There’s significant pent-up demand for health care. While the development of international economic ties may lead to increased demand for our products over time, it is still too early to make a detailed forecast.”

    “Iran is becoming more and more important to our business,” said Gangolf Schrimpf, a media relations manager at German health care specialist Merck, which is the second-largest international pharma company in Iran after Sanofi. Merck presently employs 40 people in Iran and helps patients with products to treat diabetes, multiple sclerosis, cancer, infertility and cardiovascular diseases. “We have been working with Actoverco, a local company, to produce diabetes drug Glucophage and may extend this deal to other drugs given the positive experience in this partnership.”

    In the coming months, the situation for companies exporting to Iran is likely to normalize and become straightforward, Mr. Hibbs said but added that for those considering investments over a period of 10 to 15 years, the risks were much more difficult to assess.


    Iran hospital two men lying down getty images
    Patients in Iran waiting for treatment. Source: Getty images


    German companies, mindful of the large fines imposed on banks for ignoring trade restrictions with Iran, are now waiting for U.S. banks to begin doing business again there. They are also calling on German banks to set up business operations in the country.

    How successfully German companies will compete with U.S. rivals when the market opens up remains to be seen, but Mr. Hibbs sees German companies having an advantage, given the historical context. Because the United States, “led the world in sanctioning Iran for many decades,”  it meant the biggest economy in the world “was not a competitor” for Germany up until the E.U. restrictions.

    “Iran has a lot of good, well-qualified doctors in all areas of medicine and the standard of their training is very high; my elderly relatives have good experiences of the healthcare system, one of my parents had surgery,” said one Iranian living in Germany, who talks to relatives there. But “they (also) say if you go to hospital, the technology isn’t so good.” Looking ahead, the question now is how far Iran will invest in the sector.


    German Trade with Iran-01




  • How does a visa to Iran work?


    All visitors to Iran must hold a passport valid for 6 months. The visa stamp fee is roughly 55.00 EUR for the passport.

    You will need to obtain a reference number, which is similar to a letter of invitation, in order to apply for a visa to Iran.  To get a reference number you will need to contact a travel agency in Iran and fill out an application form which includes questions about the purpose and duration of your planned stay, where you will to visit while in Iran, date of previous visit to Iran (if any), your occupation, and which embassy or consulate you plan to pick up your visa from. It will take the agency you have applied for a visa through approximately 7 to 10 days to get you a reference number. This number must be presented to the Iranian Embassy or consulate to receive the visa to Iran.

     Please note that women must have their hair covered in their application photo.

    The nationals of the following countries can receive a Visa on Arrival – although we advise you to obtain a visa before arrival for your own convenience, as sometimes VOAs may not be granted.








    Czech Republic












    Russian Federation





    Saudi Arabia









    New Zealand

    Slovak (Rep.)


    Bosnia Herzegovina


    North Korea






    South Korea





























    Please note that processing a VOA will take around 30 to 45 minutes. You will need the number of a tour guide, the hotel you are staying at or person you are staying with handy because immigration will need to call and confirm your address before issuing your visa.

    VOAs are not suitable for anyone who wishes to stay in Iran longer than two weeks.


    Warning: Visitors not holding return/onward ticket could be denied entry.

    Visa on arrival will not be granted to the nationals of the following countries:
















    Please note that American, British and Canadian passport holders need to be accompanied by a guide while in Iran. These nationalities must discuss and devise an itinerary with a tour operator.


    The nationals of the following countries do not need a visa as they have a visa-free regime with Iran.













    In the event of overstaying your visa, you will be required to pay a roughly 7 USD penalty and a 10 USD fine for each day you have overstayed. This penalty must be paid at the Immigration and Visa Affairs Office; however, on holidays you can pay this fine at the airport.

    You can get electronic visa by following link:

  • How is Employment Income tax in Iran ?


    The employment income of employees in both the public and private sectors is taxed at progressive rates ranging from 0 to 20% after deducting a basic annual exemption (i.e. IRR 138 million – for the calendar year starting on 21 March 2015 and ending on 20 March 2016) as presented below:


     Salary Tax Rates


    annual taxable income


    Up to




    Up to



    10% of the excess over




    20% of the excess over


    The following income is specifically exempted from income tax on salaries:


    1) Salaries of foreign diplomats, embassy staff, etc. (subject to reciprocal treatment) and non-Iranian members of UN delegations and specialized agencies;

    2) Salaries of foreign experts sent to Iran on aid programs;

    3) Salaries of local employees of Iranian embassies, consulates, etc. subject to reciprocal treatment;

    4) Pensions, retirement allowances and termination of employment payments;

    5) Service-related travel expenditure and allowances;

    6) 50% of the salary tax of employees working in villages and deprived regions;

    7) Housing, on-site accommodation, food and transport allowances and other non-cash benefits provided for manual workers;

    8) Compensation from medical insurance, accident insurance, etc;

    9) New Year bonuses and year-end allowances up to a maximum of one twelfth of the base annual allowance;

    10) Housing provided for civil servants;

    11) Employees’ medical expenses met by employers;

    12) Salaries paid to members of the armed forces, Intelligence Ministry employees, war veterans and former prisoners-of-war; and

    13) Non-cash allowances provided to employees up to a maximum of two twelfth of the base annual allowance.


    Note that the term “base minimum salary” refers to a minimum salary under the Labor Code. The amount is reviewed annually by the Ministry of Economic Affairs and Finance.


    In practice, the employment income of foreign workers has often been subject to tax on the basis of a notional scale of remuneration rather than by reference to the actual employment contract. On 11 May 1998, a directive was issued requiring expatriate workers to pay income tax on the total salary, allowances, and benefits earned during the employment period in Iran with effect from 22 June 1998.


    Expatriate employers are now required to submit full details of the remuneration of their expatriates, plus details of any tax withheld and copies of the relevant employment contracts to the local tax district within 2 weeks of a request by said tax district. The report requires completion of a special specified form, which must be signed by both employer and employee. In the case of non-resident foreign employers, the expatriate is required to supply the information within 2 months of the start of employment.


    The employment contract must reflect all the benefits included in the employment package. The contract must also be:


    1) authenticated by the employer’s head office; and

    2) verified by competent government authorities and by the Iranian embassy in the country where the employer’s head office is located.


    Failure to comply may lead to a tax assessment initially on a presumptive basis using specified notional pay scales. If the tax assessed on the presumptive basis later proves to be less than the tax due on the actual remuneration, the additional tax will be assessed and penalties shall be imposed. Tax will be refunded, if the actual remuneration proves to be less than the notional figure.


    The Council of Ministers also passed a resolution on 17 December 2000, unifying the basis of expatriate salary charges, exchange rates of the contract, withholding taxes and compensation for increases in statutory charges. As a result, the following were implemented:


    1) The salary tax and work permit charges of expatriates are now computed based on the salaries and fringe benefits reported in the employment contract. The employer is required to report such amounts to the tax authorities, and to the Ministry of Cooperatives, Labor and Social Welfare;

    2) If the expatriates salary and fringe benefits are not specifically mentioned in the employment contract, the basis for computing the salary tax and work permit charges will be via a "unified list" which is to be prepared by the Ministry of Cooperatives, Labor and Social Welfare together with the relevant ministry or employer. This list must also be approved by the Council of Ministers; and

    3) The exchange rate to be used when computing the tax and work permit charges is the rate stipulated in the employment contract unless the employer purchases the hard currency at a different rate, in which case the actual rate will be used.


    No expenses are specifically listed as deductible in arriving at income subject to the tax on salaries. Direct Taxes Act does, however, provide for the general deductibility of two categories of expenditure in arriving at the taxable income of individual taxpayers. The two categories are expenses incurred during the tax year on medical treatment of the taxpayer himself, his wife, children, parents, brothers, or sisters and life insurance premiums paid to Iranian insurance companies.


    Also, as of 21 March 2001, employees may deduct from taxable income any payments made for housing loans, provided:


    1) the relevant home must be less than 120 sq m in area and must be purchased or built between March 2000 and March 2004; and

    2) the employer must be provided with a statement from the relevant bank confirming the amount of the monthly installment payment and the period of the loan.


    The tax on salaries is collected by deduction at source. Employers are obliged to calculate and withhold the relevant tax on the basis of the employee’s annual salary (where the payer of an amount subject to the tax on salaries is not the payer of the recipients’ basic salary, wage, etc., he must deduct the tax at the rate of 10%.) The tax so deducted must be sent to the local tax affairs office within 30 days together with a list of the names and addresses of the payees and their respective salaries in the first month. For subsequent months, only changes to the original list need to be reported. Persons receiving a salary paid from abroad are required to pay the due tax within 30 days of receiving it and to submit a tax return by 22 July of the year following the fiscal year in which the salary has been received.


    Exit visas and extensions of residence permits and work permits will only be issued to foreigners on production of a tax clearance certificate. However, pursuant to a resolution issued by the Council of Ministers on 17 December 2000, the employer is permitted to make a contractual commitment to withhold and remit the expatriate’s tax liability to the tax authorities, and the expatriate will not be barred from leaving the country, when such a contractual commitment has been entered into force+, even if the taxes have not been settled.


    In cases where the salary tax is not accounted for in accordance with the requirements outlined above, the Act provides for the making of assessments to include both the tax due and the applicable penalties. Such assessments are final and conclusive and the tax and penalties must be paid within 30 days unless an appeal is submitted in writing within the same time limit. The penalty for failure to comply with salary tax withholding requirements is a fine equal to 20% of the unpaid tax. In addition, the employer or the director(s) of the employing enterprise may be imprisoned for terms ranging from 3 months to 2 years. Claims for the refund of an overpaid salary tax must be made by the recipient of the salary to the tax affairs office local to his place of residence.


    Benefits in kind


    The assessable value of benefits in kind is normally the cost to the employer but in the following cases the assessable value is calculated as a percentage of salary and other regular remuneration paid in cash (net of deductions):


    1) Furnished housing: 25%;

    2) Unfurnished housing: 20%;

    3) Chauffeur-driven car: 10%; and

    4) Car without chauffeur: 5%.


    Pension income


    Pensions, retirement allowances, and termination of employment payments are exempt from taxation.


    Directors remuneration


    Directors remuneration is added to their annual salary obtained from employment payments and is subject to tax.

  • How is Employment of Foreign Nationals in Iran?


    As you may know ,Foreign nationals are prohibited from working in Iran unless they receive work and employment permits (even if they are supposed to receive wage and salary outside the Iranian territory). The work permit serves as the employment license for the foreign nationals in Iran.

    We are here to help you

    The work permit for the employment of foreign nationals in Iran is issued by the “Department General for Employment of Foreign Nationals” (also called Department for Employment of Expatriates) of the Ministry of Cooperatives, Labor and Social Welfare upon a request by Iranian employers. In provincial capitals it is issued by the Foreign Citizens Divisions of the Department General of Cooperatives, Labor and Social Welfare. (The general procedure for admission of foreign investment has been brought separately in the following part.) The Iranian employers are obligated to seek the permission of the Department General for Employment of Foreign Nationals before concluding any contract that may lead to the employment of foreign citizens in Iran. The rules and regulations for acquiring work permit for the foreign nationals are available in the Labor Law of the Islamic Republic of Iran, ratified in 1990 (articles 120 through 129 and executive bylaw of Article 129). Although due to abundance of educated job-seekers in the country and for the purpose of reducing unemployment rate of the educated and skilled job-seekers the Technical Board for Employment of Foreign Nationals has strict rules and regulations (stipulated in Article 121 of Labor Law) for issuance of work permits, the Foreign Investment Promotion and Protection Act (FIPPA), passed in 2002, has considered promising provisions for issuance of work permits for foreign investors, managers and experts in relation with the investments under FIPPA.  is your final source for  Project finance and FDI for Middle east and   Iran's Economy ,Q&A for investment in Iran
    If you have any questions,please send your question to: This email address is being protected from spambots. You need JavaScript enabled to view it.

  • How Wealthy Are Iranian Expats?



    Around five to six million Iranians are living overseas, constituting 7% of the total population of the country.
    Figures on their wealth are unreliable, as different sources release widely divergent numbers, Forsat-e Emrooz daily reported.
    In March 2007, the Iranian Parliament Research Center, citing National Elites Foundation, put the capital assets of Iranian expatriates at over $1.3 trillion and those of Iranian-Americans alone at over $900 billion.
    More than 6,500 companies and 10,000 university students were living in Dubai then and 1,400-odd Iranians have invested in Dubai Stock Exchange.
    In January 2014, Alireza Rahmatnia, a deputy vice president, put Iranian investments abroad at around $700 billion, $200 billion of which were concentrated in the UAE alone.
    In June 2015, Javad Qavam Shahidi, a senior official with the Iranian Expatiates Affairs High Council, mentioned an estimated $2 trillion as the wealth of foreign-based Iranians.
    The interesting point is that this amount exceeded the country’s GDP in 2014 and that absorption of just 10% of this potential capital could work miracles for the country’s economy.
    This is while the outflow of capital from the country is not unlikely. Rich Iranian investors are expected to put their money into buying real estates across the world.
    Research by Rockstone Real Estate shows Iranian merchants and millionaires are highly likely to purchase real estate worth £6 billion within five to 10 years following the removal of nuclear sanctions.
    London, Dubai, Switzerland, Germany and France are the odds-on favorite to become their destinations, the report reads.

  • Hungary’s MOL Keen on Joining Iran Oil Projects



    Hungary's state-owned oil and gas group MOL has indicated preparedness to join oil projects in Iran by the adopting enhanced oil recovery (EOR) and improved oil recovery (IOR) techniques, a senior Iranian oil official said.

    Following a meeting with MOL deputy chief executive officer, Berislav Gaso, in his Tehran office on Wednesday, Deputy Petroleum Minister in International Affairs and Trading Amir Hossein Zamani Nia said the company has over 70 years of experience in the field.

    Zamani Nia who hosted the meeting with the Hungarian energy delegation, which was headed by Janos Kovacs, the Hungarian ambassador, said MOL is keen on establishing long-term partnership with Iranian energy companies.
    “Presence and partnership in natural gas export projects in Iran and construction of gas pipelines were the main areas MOL has shown interest to work in Iran,” the official said.

    Furthermore, purchase of liquefied petroleum gas (LPG) and partnership in refinery, liquefied natural gas (LNG) and NGL projects are other areas that MOL has indicated readiness to work in Iran, he added.
    MOL is operating in oil and gas projects in 33 countries.

    The company has also purchased a crude oil cargo from Iran which is being consumed by Hungarian refineries, said Zamani Nia.
    Prior to the meeting, the Hungarian delegation met with Managing Director of the National Iranian Oil Company (NIOC) Ali Kardor.

  • IME releases 2015 annual report English version



    Iran Mercantile Exchange has published its first ever English annual report for the fiscal year ending March 19, 2016.
    According to the report by the IME’s International Affairs and public relations office, the IME’s first English annual report for the fiscal year ending March 19, 2016 presents to the general public the IME’s position in national economy and its role in creating a competitive, transparent and productive market as well as developing financial instruments, implementing new financial instruments to expand IME's scope of activities and preparing the groundwork for IME with an aim to gear up for more international relations and the necessity of publicizing related information.

    With that in mind, the report includes the IME’s General Data, Organizational Structure, General Trading Data, Financial Data Summary, Board of Director’s Message and CEO’s Post, IME’s History, Field of Activity and Strategies, Vision and Mission, Capital and Shareholders, Legal Environment of IME, IME’s Function in 2015, Key Highlights and Best practices, The Market Status and Trading Statistics, Commodities, Suppliers, Commodity-based Securities and Listed Warehouses, Active Brokers and Brokers’ Performance, Company's Financial Position, Comparison between Actual Results and Budgets, IME’s Governance and Management Structure, Board of Directors and Human Resources, Priorities in 2016 (1395) and finally Financial Statements, Independence Auditor’s report and explanatory Notes.

    The PDF version of the annual report 2015 is accessed here.

  • India, second largest buyer of Iranian crude



     Iran’s crude oil exports to India in March 2016 surges from 290 to 505 thousand barrels per day turning the South Asian country into Iran’s second largest oil customer.

    During sanction years, India purchased about 20 per cent of Iran’s oil exports equal to an average of 200 thousand barrels per day.

    Following the implementation of the Joint Comprehensive Plan of Action (JCPOA), India increased its oil imports from Iran as Indian refineries have made new oil purchase proposals.

    The surge in oil exports marks a significant achievement for the Iranian government in development of activities in regional markets after the removal of sanctions.

    In March 2016, India’s Essar Oil refinery ranked first in importing crude oil from Iran while Mangalore Refinery and Petrochemicals Limited (MRPL) stood in the second place.

    Also after a six-year hiatus, Reliance Petroleum Limited of India purchased a shipment of oil condensate produced at Iran’s Forouzan oilfield.

    On the basis of a report released by Iranian Ministry of Oil’s Office for OPEC affairs and relations with energy organizations, the average volume of India’s imports from Iran reached 4.35 million barrels per day in the first three months of the year 2016 indicating a 500-thosand increase as compared to same period a year earlier.

    Iran remains as the third supplier of India’s oil demands following Saudi Arabia and Iraq.

    The South Asian country’s imports from Iran reach a total of 505 thousand barrels in March revealing a 290-thousad growth as compared to February, 2016.

    Currently, Iran ranks third among oil exporters to India while at the beginning of 2016 the country only stood in the sixth place.

    Recently, Reuters touched upon Iran’s oil exports to India reporting “India’s crude oil imports from Iran have reached more than 500 thousand barrels per day marking the highest level in the past five years.

  • Int'l Approach to Common Oil, Gas Fields Development in Iran



    By Farshad Alikhani

    Oil and gas 'Common Fields Development' (CFD) is a strategic consideration for the owner governments. Any owner government, despite its national, political and sectorial tendencies, has always emphasized its deliberations to CFD to promote its national interests.
    In other words, there is no disagreement on the issue among any sovereign state's political and economic elites. This consensus has realistically been an opportunity to pursue an effective roadmap to CFD and defend hereby the actualization of international common interests. There are some challenges for some countries in common oil and gas fields' development.

    In this context, if the question is why sufficient and acceptable results to maintain international interests in some certain common oil and gas fields have not been fully realized yet, in comparison with other satisfactory benchmarks in some regions, then the following analysis may briefly contribute to the explanation of different aspects of the issue and proposing some remedies to treat the CFD underdevelopment syndrome for the actualization of their on-time and effective collaborations.
    Joint development of oil and gas resources among oil and gas-rich countries is of great importance in the era of ever increasing need for co-sufficiency and collaboration. There are pessimistic, as well as, optimistic approaches to oil and gas CFD. I do believe in 'Realistic Optimism' as a sound approach to analyze current and future trends in oil and gas CFD and hereby briefly explain different aspects of CFD.

    Role of visionary leadership & energy diplomacy
    The politics of cooperation governing CFD is a critical dimension of the issue. Political attitudes of the players may accelerate or hinder the pace of co-operations. A win-win attitude brings about peaceful adjustment of conflicts and can strategically lead to common interest's fulfillment. Other win-lose or lose-lose approaches have been repeatedly adopted by some players in certain circumstances, which past experiences have frequently shown that the defeated parties pursue routes to remunerate the undesired results.

    Hence, the adoption of win-win approach can strategically benefit all in the long-run. I do believe that emphasizing on the principles of 'Continuous Dialogue', 'Good Intent', 'Sincerity', 'Purposefulness' and 'Mutuality' is a must for the involved stakeholders. It will, with more likelihood, lead to peaceful adjustment of probable disputes or conflicts. This necessitates on its own turn, the observance of international legal frameworks and traditions.
    Negotiations can act as serious means to resolve likely disagreements in a peaceful and friendly manner. The observance of these principles brightens the horizon of common interest's actualization. The security issue is another aspect of the matter. Engaging collaboratively to safeguard common resources can reduce the probability of conflict and can act as an effective mechanism to conflict resolution and hence, contributing to a more secure atmosphere.

    The challenge of 'Unified Leadership' has to be handled through adopting collective mechanisms such as establishing a 'CFD Leadership Committee'. This helps to bring about change in the shortest period of time. This committee has to work closely with 'CFD Operational Committee' which follows the effective and timely operationalization of the policies adopted by the leadership committee.
    There are various approaches to CFD which I call here as 'Balanced-Developmental Approach' (BDA), which emphasizes the development of all phases of a certain oil or gas field, and 'Imbalanced-Developmental Approach' (IDA), which concentrates on certain prioritized phases of a certain oil or gas field. Each approach has normally its opportunities and deficiencies, if is seen in a real strategic and operational and technical context. There are many reasons regarding when and how to apply IDA or BDA, but the role of governors' 'economic, political, developmental and technical attitudes', besides 'situational contingencies' are important factors to consider among the others, which the leadership committee can decide upon.

    Accountable and flexible management
    There are some managerial obstacles which may hinder and slow down the pace of CFD. There are some managerial considerations to facilitate the effective CFD. Cooperations lead to the efficient utilization of common oil and gas resources and herby to strategically manage common fields in the long-run. Establishing consortiums for more productivity is a mechanism in this regard. The establishment of 'Joint-Ventures' or 'Common Commissions' for deepening interim co-operations is a widely used recipe to speed up the timely joint-implementation of common projects in a certain common field. Such mechanisms help either to share resources, or diffuse managerial and technical expertise and experiences by the involved parties. As a matter of fact, Outsourcing oil and gas projects to 'Real Private Sector' or 'Real Semi-Private Sector' of the involved governments can synergize the overall shared capabilities.

    Responsive, cohesive, ethical and accountable management for CFD is a strategic requirement to respond to the developmental needs of the industry and to foster 'Meaningful Change'. Accountability of management towards the achievement of CFD goals in a definite period of time seems to be one of the most vulnerable managerial issues. The appointed bodies by the leadership committee are responsible to accomplish the determined goals. This managerial mechanism promotes the accountability of delegated bodies for their performance. The leadership committee shall be informed on the progress to help lead the overall process. Issues such as 'Early-Production' can be considered as strategic issues by both committees to respond to market demand, if it has reached to disequilibrium. These mechanisms, if implemented effectively, will treat what I call 'The Projects Completion Syndrome' (PCS). Flexible management is a prerequisite to foster requisite leniency in all phases of the development process.
    Proactive investment & finance: Key to financial success

    The third issue is the effective and timely 'Financing' CFD projects. Close coordination with national parliaments, domestic and international financers are suggestible mechanisms for the harmonization of all CFD efforts. Joint-financing CFD can be achieved through establishing a 'Joint-Financing Committee' (JFC) to foster necessary changes.
    Technology, methods and equipment

    Technological issues are enough important to cite for promoting CFD efforts. New financial, operational and managerial methods have to be exercised by the involved stakeholders to speed up the effective utilization of common oil and gas fields. Supporting strategists, technologists and manufacturers have to be put on the technology development agenda; procurement from international markets must simultaneously be on the fore of the efforts. The adoption of new technologies for operational efforts such as 'Directional Drilling' or 'Radial Drilling' is of strategic importance for CFD.
    New legal frameworks, contracts as catalyzers

    Establishing and application of a diversified set of 'Contracts' is another challenge for the involved partners. To initiate new legal frameworks, CFD must be streamlined by a closed harmonization with respective national governments or parliaments and a composition of independent expert groups and institutions.
    New frameworks must either actualize the interests of the involved actors who engage in CFD efforts. What I call as a win-win 'Financial Gains Portfolio' (FGP) for the engaged parties can be assumed as the core point of CFD agenda. There will be a real need to review and reorganize present legal frameworks to promote the unity of efforts and interests in CFD. New elaborated contractual and legal frameworks pose serious implications on motivating giant financers and investors.

    National interests as well as other stakeholders' interests must be observed, in a broader context, through developing a 'Comprehensive Interests Basin' (CIB) to convince all involved parties to be able to gain what they are pursuing in their interim co-operations. Establishing an expert committee to address potential neglects on contractual issues is important to prevent misunderstandings, resolving disputes or probable corruptive behaviors, which in many cases, seem to be inherent in some oil and gas deals.
    Strategic human resources management: The heart of petroleum sector management

    Strategic human resources management (SHRD) is a strong commitment for effective CFD efforts by the engaged partners. Adopting an effective and meaningful 'Human Resources Management' (HRM) system based on scientific measures such as 'Performance-based Management' (PBM), or 'Competency-based Management' (CBM) can act as an early-productive mechanism to promote the morale of craftsmen in common oil and gas fields. Human factor is 'the most important element of joint-productivity'.
    Co-operative 'intergovernmental relationships' are important for developing common strategies for CFD to maximally increase Returns on Investments (ROIs). For this to happen, the involved stakeholders may find ways and means to legally, politically, managerially and technically evaluate pitfalls and provide time-saving remedies to safeguard common interests through CFD in a broader internationally cooperative and strategic framework.

    Overcoming political and more importantly, technical barriers for effective CFD is a liability which can be realistically managed through mobilizing mutual capabilities and initiating visionary leadership, through energy management and diplomacy. The effective implementation of CFD schemes can be achieved through a comprehensive mobilization of common capabilities and engaging in energy diplomacy and multilateral dialogues among the involved stakeholders.

  • Interested in Raising Equity Capital For Your Company?


    If you are Interested in Raising Equity Capital For Your Company,Please fill out attached file and send to :

    This email address is being protected from spambots. You need JavaScript enabled to view it.

  • International Exhibition in Iran 2017-2018






    Ifyou want to know more on International Exhibitions  in Iran( 2017-2018) please download attached file.

  • International Exhibitions in Iran( 2018-2019)



    If you want to know more on International Exhibitions  in Iran( 2018-2019) please download attached file.

کتاب عملیات بانکی در عرصه بین الملل -سرفصل ها،ضمائم ،توصیه صاحب‏نظران ارزی و مدیران ارشد بانکی

Investment Consulting &Project Finance


Sign up for our newsletter