In association with:
◢ SAIPA and Citroen deal heralds new chapter for Iran's auto industry, but underlying technology transfer is the same as in previous IKCO/Peugeot deal
◢ The government has approved usance letters of credit to help automakers manage cash flow in the absence of long-term financing
◢ The acquisition of Bahman Automotive by Crouse is a major move within the trend of auto industry privatization
◢ New interest rates are expected to boost demand from car-buyers as banks begin to offer new and more attractive financing options, including leasing.
◢ Debt owed by Iranian banks to the Central Bank rose over the last two months, an uptick that went against the annual trend
◢ Bank reserves grew 10.4% y-o-y, with increasing deposits as individuals seek to take advtantage of interest rates before pending reductions
◢ The Rouhani administration is pursuing an expansionary monetary policy, trying to free up capital from the banking sector through lower interest rates and lower reserve requirement
◢ However, many Iranian banks are carrying a high load of toxic debt, and the Central Bank of Iran needs to be careful not to destabilize banks through its policies
◢ Iran's ability to deliver primary care and preventative medicine is strong, but an aging population will create demand for chronic disease treatments and therapies
◢ The pharmaceutical market is expected to see significant growth rising from USD 2.4 billion in annual sales in 2015 to USD 4.2 billion in 2021
◢ Tourism's contribution to Iran's economy lags behind global averages and the expected value of the country's natural and historical attractions.
◢ Hotel supply tariffs have been reduced, making it easier for domestic operators to bring properties to international standards.
◢ Feared as a threat to net neutrality, the launch of a National Information Network promises greater internet speeds and lower prices, but with lingering questions around access
◢ A new survey has determined that 55% of Iranian households have access to the internet
◢ The state-owned Telecommunications Infrastructure Company (TIC) is working to expand access and lower costs for high-speed internet
◢ Venture Capital is maturing in Iran, helping to boost the prospects of an entrepreneurial tech ecosystem
◢ Copper production is beating expectations, and NICIC should expect to see healthy profits this year
◢ State mining conglomerate IMIDRO is set to receive a USD 3 billion loan from the National Development Fund to support further exploration
◢ Iran plans to become one of the world's top 5 iron ore producers with 180 million metric tons produced each year.
◢ The coal industry is set for consolidation as struggling coal producers lose domestic market share to cheaper imports.
◢ Growth in exports has been sustained, rising to 2.5 m/bdp. But challenges in marketing and financing Iran oil trade may limit exports in the near term.
◢ The Ministry of Petroleum unveiled the long-awaited IPC contracts, but amendments were quickly made to address a flurry of criticism
◢ Iran's surprisingly rapid recapture of oil market share has stalled, and new investment will be needed to drive production levels higher and improve marketing and export
◢ The country is seeking to expand natural gas exports beyond regional neighbors through investment and access agreements to LNG infrastructure
◢ Iran is seeking to complete the value chain and export more final goods in the petrochemical sector
◢ An ambitious investment program aims to nearly triple production by 2025, but foreign investment will be needed to reach these targets
◢ Recovery is not beginning to reach the middle of the housing market, and encouraging activity can be seen both demand-side and supply-side
◢ The number of construction permits is still down 25.1% y-o-y but continues to increase at a steady pace each month
◢ Tehran has made great strides in incorporating solar cells into its municipal grid, particularly in parks and other public areas.
◢ The city plans to meet 16% of the electricity needs of its municipal offices from renewable sources.
◢ Iran has ambitious plans to boost solar and wind power generation, but improving efficiency in energy consumption will be equally important to bringing new capacity online
◢ A looming water crisis is making investments in new water management technologies an absolute priority for the government
◢ For a country of its size and optimal geographic position, Iran's transport linkages are very underdeveloped
◢ Iran's rail, maritime, and air transportation networks are all poised for new investment from major foreign partners who see Iran's position as a regional hub