How re-election of Iranian president Rouhani could affect global economy

Sputnik – US economic experts interviewed by Sputnik expressed different views on how the re-election of Iranian President Hassan Rouhani for a second term will affect global economic relations. Some consider the victory of a moderate candidate positive for Western countries, others believe that there are no prospects of fruitful cooperation with Tehran.

On Saturday, May 20, Iranian President Hassan Rouhani was re-elected for a second term having received 57 percent of the votes in the election.

“Moderate leader”

In general, Rouhani’s candidacy for presidency has been viewed by the West as the best option. The politician is considered more or less a “moderate leader” whom Western politicians can comfortably talk to relative to his more extreme counterparts.

US economist Scott McDonald sees Rouhani’s victory as a positive factor for the US and the global economy, although he believes that Iran’s “relations with the United States are likely to remain problematic. ”

“He [Rouhani] is, perhaps, a more comfortable leader to work with OPEC on the issue of market stability,” the expert believes. “Rouhani is also much more friendly with respect to foreign investors.”

At the same time, former Assistant Secretary for Fossil Energy Charles McConnell believes that the US should continue its tough policy toward Iran.

“Iran is not our ally. I don’t see it in any other role than a foreign competitor who wants to show its strength in the market. I see even more reasons for the US to strengthen its global energy independence and build development prospects that can guarantee security and stability of its economy,” the expert told Sputnik.

US-Iran political standoff

Following his election, Rouhani reiterated Tehran’s policy of supporting Iraq and Syria in the fight against terrorism and noted that he considers the summit held last weekend in Riyadh with the participation of US President Donald Trump and the leaders of Arab and Islamic countries as having no political value.

“The meeting that took place in Saudi Arabia is a meeting for show and has no political value. The problem of terrorism is not solved at the meetings and conferences or by spending the people’s money,” Rouhani said at a press conference in Tehran.

On Sunday, Trump participated in the Arab Islamic American Summit held in the Saudi capital along with the leaders of Muslim-majority countries. During his speech at the summit, the US leader accused Tehran of supporting terrorists, militias and extremist groups that “spread destruction and chaos” across the Middle East, accusations that Iranian authorities have repeatedly denied.