UAE, Turkey, Lebanon stand to benefit from Iran’s economic turnaround after nuke deal

Special to WorldTribune.com

Business interests from UAE, Turkey and Lebanon could benefit greatly as Iran’s economy crawls out from under the heavy burden of international sanctions following the nuclear deal with Western powers.

Teheran, Iran
Teheran, Iran

“Lebanon and the UAE would benefit from the economic rebound in Iran. Given Lebanon’s financial skills and regional ties, it could play an important role in the future financing and channeling of investment needed by the Iranian economy,” according to the Institute of International Finance (IIF).

UAE exports to Iran (mainly re-exports) totaled $33 billion in 2014 and accounted for nearly one-third of Iran’s total imports.

“More foreign companies could be based in Dubai to do business in Iran,” said Garbis Iradian, IIF Chief Economist for Africa/Middle East.

Analysts also believe Turkey will cash in after the opening up of Iran’s economy.

“We think bordering Turkey will be among the world’s biggest beneficiaries both cyclically and structurally of any re-engagement of Iran’s 78 million people with the global economy,” said Mike Harris, chief Turkey equity strategist for Renaissance Capital.

“We think an Iran deal would likely create some structural underpin for the Turkish story, as Turkish companies exploit the renewed export opportunity like they have done in Iraq and so many other regional markets in recent years.”

Experts say most multinational corporations looking for business opportunities in Iran are likely to use Dubai as their regional hub, but a few may use their subsidiaries based in Turkey.

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