The realization of economic growth targets in the Sixth Development Plan necessitates a dramatic increase in investment and the attraction of foreign resources, such that achieving the expected share of growth requires attracting foreign investment annually on a scale far beyond previous trends. Despite the comparative advantages of foreign direct investment (FDI) over debt-based financing, the experience of past years indicates that the volume of FDI attraction in Iran has been extremely limited, and the fulfillment of plan targets faces structural and institutional obstacles. Key challenges include weak strategic thinking and coordination among the country's economic pillars, the gap between the standards of the banking and financial system and international requirements (including IFRS, Basel, and anti-money laundering requirements), currency rate fluctuations, legal and regulatory ambiguities in the field of foreign investment, the absence of credit rating agencies, weak development of small and medium-sized enterprises and startups, and shortcomings in political confidence-building and the promotion of investment opportunities. At the policy level, proposals emphasize focusing economic governance on attracting foreign investment, upgrading the independence and supervision of the central bank, reforming banks' capital structures, developing rating institutions, creating foreign currency funds and bonds, fully implementing FATF requirements, and providing regulatory compliance infrastructure. In the capital market domain, reforming law enforcement mechanisms, removing obstacles related to foreign bank accounts and asset custodianship (sub-custody), financial tax transparency, financial reporting development, and international engagement are recommended to boost investor confidence.
Bahrololoum, M. (2018). Practical Strategies for Financing and Attracting Foreign Investment. Allameh Tabataba’i University Strategic Recommendations for Administrative Bodies, 2(2), 136–144. https://doi.org/10.22054/jicia.2018.20381
MLA
Bahrololoum, M. "Practical Strategies for Financing and Attracting Foreign Investment", Allameh Tabataba’i University Strategic Recommendations for Administrative Bodies, 2, 2, 2018, 136–144. doi: 10.22054/jicia.2018.20381
HARVARD
Bahrololoum, M. (2018). 'Practical Strategies for Financing and Attracting Foreign Investment', Allameh Tabataba’i University Strategic Recommendations for Administrative Bodies, 2(2), pp. 136–144. doi: 10.22054/jicia.2018.20381
CHICAGO
Bahrololoum, M., "Practical Strategies for Financing and Attracting Foreign Investment." Allameh Tabataba’i University Strategic Recommendations for Administrative Bodies, 2 2 (2018): 136–144, doi: 10.22054/jicia.2018.20381
VANCOUVER
Bahrololoum M. Practical Strategies for Financing and Attracting Foreign Investment. JICIA. 2018;2(2):136–144 (In Persian). doi: 10.22054/jicia.2018.20381