Think Tank Presents Economic Proposals to Foreign Ministry

EghtesadOnline: Majlis Research Center has put forth eight proposals for the consideration of Foreign Ministry, including one for the revival of the economic department in the country’s diplomatic apparatus.

News ID: ۷۷۷۶۵۲

15 July 2017

The center stated that the economic department should enjoy the know-how of qualified experts from different sectors.

“With a strong mandate, the department can act as the main center of decision-making and coordination of different organizations on the economic stage,” the center’s proposal was cited as saying by Bourse Press.

Another proposal urged the ministry to select well-known experts from different fields of economy and commerce, Financial Tribune reported.

The research center backs the idea of carrying out a fundamental reform over the state of joint economic commissions and calls for serious negotiations on preferential trade agreements with other countries, particularly neighboring and Muslim-majority countries.

“The Foreign Ministry should press ahead with World Trade Organization accession talks,” the center said.

Trade among WTO members comprises over 90% of global trade. WTO accession will pave the way for forging economic ties with 150 countries.

WTO received Iran’s application for accession on July 19, 1996. It took the organization nine years to accept Iran as an observer member.

In 2005, WTO eventually established a working party composed of a group of representatives tasked with assessing Iran’s accession bid. However, the chairman of the party has not yet been elected.

At present, Iran is the world’s biggest economy outside the World Trade Organization.

Given US objections over Iran’s accession to WTO and other international organization, the research center said, regional cooperation can act as a preemptive factor and guarantee political and economic stability in the face of foreign threats.

Reviving and making use of the full capacity of regional organizations, including Economic Cooperation Organization, and tapping into their potential are among such regional collaborations.

Foreign direct investment is one of the key indices to gauge the efficiency of economic diplomacy. The envisioned 8% economic growth as per the sixth five-year development plan (2017-22) would need $150 billion in FDI, 40% of which should come from foreign resources.

With the unraveling of sanctions regime, all hurdles in the way of investment, including restrictive rules and regulations, should be cleared.

The ministry needs to present a real picture of economic capacities of the country as well as the reduced risks of investment in Iran to attract investment, the center argues.

Referring to the wealth of Iranian expatriates, the research arm of the parliament urged the government to revise foreign investment regulations. It also believes that foreign policy and diplomacy should be focused on economic relations.

“Foreign Ministry needs to shape strong economic ties with different countries,” it concluded.