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Impact of JCPOA Pullout on Iran's Housing Sector Uncertain

Impact of JCPOA Pullout on Housing Sector UncertainImpact of JCPOA Pullout on Housing Sector Uncertain

Iran’s housing sector has been showing signs of exiting a deep recession that had undermined the country’s overall growth for more than five years, but US President Donald Trump’s pullout on May 8 from the Joint Comprehensive Plan of Action, Iran’s multilateral nuclear deal, also cast a pall over the sector.
The sector will not be directly hit by any of the sanctions Trump has promised to reinstate against the country, though it is influenced by other markets and economic sectors that are sure to be affected in the coming months.
This has made officials and pundits uncertain about the immediate and long-term prospects of the sector, with predictions ranging from no notable changes whatsoever to delayed boom.
“The housing sector in Iran is completely indigenous and all its factors of production from workforce and technology to construction materials are procured domestically. Therefore, political developments and behaviors of international players will not have a direct impact on the housing market,” a senior official at the Ministry of Roads and Urban Development was quoted as saying

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