Economy, Domestic Economy

Berlin to Encourage Iran Investment

Berlin to Encourage Iran InvestmentBerlin to Encourage Iran Investment

The German government will lend its support to the country’s companies that are keen to invest in Iran, said German Foreign Minister Frank-Walter Steinmeier.

“As soon as the sanctions (imposed on Iran by the West over the country's nuclear program) unwind, Berlin will encourage German companies to increase their investments in Iran as the sanctions have been a major barrier to bilateral ties,” IRNA quoted Steinmeier as saying in a meeting with Iran’s Minister of Industries, Mining and Trade Mohammad Reza Nematzadeh in Tehran on Sunday.

Sunday was the "adoption day" for the historic nuclear deal reached between Tehran and the world powers in July 14. The accord stipulates the lifting of sanctions in exchange for limitations on Iran’s nuclear energy program.

“In the past two months, representatives of many German companies have travelled to Iran,” said Steinmeier, hoping that those visits will lead to increased mutual cooperation in the near future.

He also noted that Germany is keen to boost two-way economic ties beyond companies such as Siemens and Bosch that are already known in Iran. “Germany’s small- and medium-sized enterprises could also start their activities in Iran,” said the German minister.

Collaboration with Germany’s small- and medium enterprises were also highlighted by Nematzadeh in a press conference after the meeting.

The minister referred to the plans of Iran and Germany to boost cooperation in the auto sector as well as production of medical equipment, noting that the two sides have discussed a €50 million investment plan by German companies in the field of plasterboard manufacturing in the southern Fars Province.

Earlier this month, in a meeting with the visiting Economy Minister of Germany’s Lower Saxony state Olaf Lies, who was accompanied by a 100-strong trade delegation, Nematzadeh said cooperation with Germany is a priority for Iran in the new economic climate.

According to the minister, Tehran-Berlin trade stood at €2.7 billion over the last Iranian year (ended March 20, 2015), indicating an increase of 30% compared to a year before.