A new report by a strategic advisory firm in Washington, D.C., reveals that since the United States and its allies signed an interim nuclear deal, the Middle Eastern nations most important sector of its economy energy has seen a boost.Sidar global advisers reported that, due to the deal, Iran oil sales are up, as well as interest in foreigninvestment.
Iranian oil sales in January of this year were 1.32 million barrels per day (bpd), an increase of 100,000 bpd, animprovementlargely brought on by Chinese purchases. Additionally, foreign oil companies such as Total and Lukoil have met with Iranian representatives in an effort to set up energy investments as soon as possible, should the political situation continue to improve, read the report.
Irans long-term economic growth, however, remains uncertain.
Sidar said Irans vast oil and natural gas reserves (thought to be the fourth-highest and second-highest in the world) might not be enough to overcome the countrys 20-percent inflation rate, billions ofdollarswasted by fiscal malfeasance and political infighting that could derail negotiations with the West at any time.
Economic improvement is contingent upon political progress, a deeply uncertain prospect given the massive gap intrustpresent in both Irans external relations as well as among its internal political factions, the report concluded.
By The Washington Times
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