Call for Cutting Red Tape to Cultivate Iranian Startups

EghtesadOnline: One of the grim realities local startups usually put up with is government bureaucracy.

News ID: ۷۴۴۴۶۲

18 November 2017

Censuring “unnecessary regulations” Gholamhossein Shafei, head of Iran’s Chamber of Commerce, Industries, Mines and Agriculture, says, “The legal hurdles have slowed the growth,” the local technology website ICTNA reported.

He is of the opinion that “the process of receiving legal permits is unacceptably time-consuming. The system needs to be overhauled and permits should be issued online.”

Speaking at a meeting of heads of provincial chambers of commerce and Iran’s Chamber, Shafei said, “Bureaucratic procedures and cumbersome regulations pose a huge challenge to entrepreneurs and startups.”

“Overbearing legal procedures hamper businesses and are worse than financial constraints,” Financial Tribune quoted him as saying.

Entrepreneurs have often criticized the government for the drawn out legal procedures which they insist are heavy on bureaucracy and torpor and discourage private enterprise in more ways than one.

According to Shafei, if the government switches to issuing online permits, it will be a major contribution to the growth and expansion of startups.