Iran's Economy Minister Claims 'Record-Breaking' Foreign Investment Attraction

Iran's Minister of Economic Affairs and Finance has claimed that the country has registered the highest record in 'valid foreign investment' in the past 16 years in the year 1402 (2023). Ehsan Khandozi stated on Saturday, August 20, that 'Iran has managed to attract the trust of various countries despite the pressures of sanctions.' Previously, Khandozi had repeatedly claimed the attraction of 5.5 billion dollars in foreign investment in the last solar year. Officials of the thirteenth government announce the statistics of 'approved foreign investment by the government' under the title of 'foreign investment attracted' to the public and media, while the claimed figure of 5.5 billion dollars by Khandozi actually refers to permits issued by the government for attracting foreign investments. Statistics from the United Nations Conference on Trade and Development (UNCTAD) show that Iran attracted only 1 billion and 422 million dollars in foreign direct investment last year, the lowest figure during the three years of the thirteenth government. In comparison, Turkey attracted seven times more than Iran, Saudi Arabia nearly nine times, and the United Arab Emirates 22 times more foreign direct investment last year. According to the annual report of the United Nations, Iran's share in global foreign investment attraction was only one-tenth of a percent. Last year, countries around the world attracted about 1 trillion and 332 billion dollars in foreign direct investment, and Iran's share of this amount was only one thousandth. Attracting only 1.4 billion dollars in foreign investment comes at a time when, according to the latest report from the Central Bank of Iran, more than 20 billion dollars in capital flight occurred from the country in the first nine months of last year. On the other hand, the claim of 'record-breaking' foreign investment attraction by the thirteenth government comes while, according to UNCTAD statistics, Iran has attracted a total of 4 billion and 347 million dollars in foreign direct investment over the past three years, which is even 876 million dollars less than the last three years of the twelfth government. The majority of what the thirteenth government presents to the public as 'foreign investment attracted' is actually investment agreements signed between Iran and Russian and Chinese companies. Iran and Russia have signed dozens of agreements in the fields of transportation, industry, and energy over the past three years, most of which have not even reached the contract stage. Estimates from the American Enterprise Institute also indicate that the last major investment by the Chinese in Iran dates back to 2016, worth 600 million dollars between the China National Petroleum Corporation (CNPC) and the National Iranian Oil Company for the development of the 'Yadavaran' oil field, which was abandoned by the Chinese company after the U.S. withdrawal from the JCPOA.