Foreign Investors love the Iranian Ahmadinejad Government
Foreign Investments Improve
A report by the United Nations Conference on Trade and Development indicates that Iran attracted more foreign direct investment (FDI) in 2006 compared to the year earlier.
According to the World Investment Report 2006, released annually by UNCTAD, Iran’s rankings in inward foreign investments went up two places to reach 133 among 141 countries. The country stood 138th in 2004.
Inward FDI grew by three-fold to reach $901 million in 2006. The figure was $306 million in 2005 and $282 million in 2004. In other words, the figures show that policies to woo foreign investors have been successful, Fars news agency reported on Monday.
Given that Iran holds huge world energy reserves, it can occupy a top 10 to 13 place in the world.
The country ranked ninth in the Middle East in attracting foreign investment. Turkey absorbed the biggest volume of foreign investment ($20 billion) in the region.
Meanwhile, the report added 2,000 large foreign firms and 16,000 subsidiaries of giant companies are active in the Middle East of which there are 103 in Iran.
Foreign investments in Iran exceeded $4.5 billion during 1990-2006, placing the country 14th among Middle East states.
In addition, the report shows that the Islamic state occupies sixth the slot in the Middle East in terms of outward FDI. Iran invested $386 million in other countries in 2006. The figure was about $60 million in 2005.
Foreign investors, particularly giant oil and gas companies have defied US pressure and continued to invest in this hydrocarbon-rich country in recent years.
The Islamic Republic has also boosted economic ties with South countries. Iran currently has cordial ties with China--the Asian economic giant with double-digit growth and Venezuela--the world’s fourth largest oil exporter.
