Today.Az » Analytics » Which economic spheres of Iran attract Turkish investors?
17 July 2015 [10:55] - Today.Az
By Rufiz Hafizoglu
Some countries do not hide their intentions to invest in Iran after the lifting of sanctions imposed on this country. Turkey is among such countries.
In fact, the sanctions against Iran were not so much hindering the development of economic relations between Tehran and Ankara.
Over 100 Turkish companies were operating in Iran during the period of sanctions against this country, according to Turkish Economy Ministry. Moreover, 38 Turkish companies operate in the Aras free economic zone alone.
Undoubtedly, the lifting of sanctions will lead to the real flow of Turkish companies into Iran. All the more so, preferences (simplified taxes) are offered to Turkish investor companies in the Islamic Republic. For example, if a Turkish company invests in the tourism sector of Iran, it will get 50-percent tax benefits.
The sanctions against Iran didn’t lead to an economic downturn in the country. On the contrary, they gave impetus to development in a number of economic sectors. Therefore, certain economic spheres of the neighboring country attract Turkish investors.
It is not ruled out that first of all, Turkish companies will invest in Iran’s mining industry, since Turkey has great experience in this sphere, while Iran is a country rich in mineral resources.
Another sector of Iranian economy that will undoubtedly attract Turkish investors is tourism.
Turkey has the most developed tourism sector in the world and Iranian cities with rich history such as Esfahan, Tabriz, and Shiraz have serious tourism potential. Moreover, the coasts of the Caspian Sea in Iran can attract Turkish investments for developing tourism as well.
The third important sector for Turkish investors in Iran is the sphere of construction, where a vacuum is observed presently.
Moreover, it is not ruled out that Ankara will supply defense industry products to Iran.
Currently, Iran is the only safe way for Turkey’s access to the Middle East.
As a result of the military clashes in Syria, as well as instability in Iraq, especially, on Turkey’s south borders, Ankara has lost access to these countries. This is while Iran has easy access to the mentioned countries.
Furthermore, in 2013, due to political disagreements, Egypt refused to extend the agreement with Turkey on cargo transportation with “ro-ro” vessels. The sides held talks on this issue, but it remained unresolved. This is another factor that strengthens Iran’s role for Turkey.