Gov't Set to Improve Business Climate

President Hassan Rouhani said his government is pursuing a policy mainly aimed at creating a business climate conducive to local and foreign investment.

"The government is moving toward establishing a favorable business environment for foreign and local [investors]," Rouhani said, according to his official website.

He was speaking at a conference on investment held in the central province of Markazi on Sunday.

Noting that his government lays great importance on supporting domestic production, the president said, "The import of goods that can be produced domestically should be prevented."

Boosting domestic production also lies at the core of a national economic concept, namely Resistance Economy, outlined by the Leader of Islamic Revolution Ayatollah Seyyed Ali Khamenei to bolster productivity and diminish the country's dependence on oil revenues.

Rouhani's plans to deliver on his electoral promise of economic reforms after the 2015 nuclear deal with major powers have faced fierce opposition from his rival conservatives.

He intends to capitalize on the situation that has emerged after the removal of sanctions in January under the accord to jumpstart the hobbled economy, particularly by engaging with international businesses to absorb foreign investment and technology.

The deal curbed Tehran's nuclear program in return.

The president's opponents have criticized and attempted to block his plans on fears that opening the local market to westerners could, in effect, offer them the long-sought opportunity to make inroads into the country.

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Rouhani noted that seeking self-reliance does not contradict cooperation with other countries.

"We will [continue] standing on our feet to make the best use of the capital, facilities and resources. Today, no individual or company can survive without interaction with the outside world," he said.

He highlighted the need to upgrade technologies and equipment currently in use in the country and said upgrading technology is of paramount importance and demands economic interaction at the international level.

Rouhani said his government is striving to enhance competitiveness in Iran's market because "a non-competitive mechanism is highly problematic."

"There needs to be domestic and international competition and progress is achieved through competition," he said.

Te president further said the current stability in the national economy and the falling rate of inflation are sending positive signals to producers and investors.

Rouhani added that the Islamic Republic's ambassadors have been tasked with promoting opportunities for investment and technology sharing in the untapped, lucrative Iranian market.