investment in iraninvestment in iran - government.bgexport.government.bg › ianmsp › docs ›...

\Ç à{x ÇtÅx Éy ZbW\Ç à{x ÇtÅx Éy ZbW

Investment in IranInvestment in Iran

Organization for Investment,Economic and Technical Assistance of Iran

(OIETAI)

www.investiniran.ir www.iio.ir

P t ti Hi hli htPresentation Highlight

General Information about Iran’s Economy

Incentives and Benefits of Foreign Investment in Iranf f g

Introduction to “ Foreign Investment Promotion and Protection Act” (FIPPA)

Supports & Services Provided by OIETAI

Procedure For Foreign Investor

I t t O t iti d P j t i IInvestment Opportunities and Projects in Iran


Ch t 1Chapter 1

General Information about

Iran


Geography

Location:

Country in south-western Asia, located on the northern shore of the

Persian Gulf with an area of 1,648,195 square kilometers.f f , , q

Iran lies at the eastern most edge of the geographic and cultural region known as

Middle EastMiddle East,

Bordering Iraq, Turkey, Pakistan, Afghanistan and Turkmenistan, Oman Sea

and the Persian Gulf from South and the Caspian Sea from North,

Strategic location on the Persian Gulf and Strait of Hormuz, which are Vital Maritime


Pathways for Crude Oil Transport

I ’ M i Ad tIran’s Main Advantages:The diversified economy with over 40 industries directly listed in the Tehran Stock Exchange

Resource-rich & Labor-rich economy

Young and educated population & Large domestic market

Developed infrastructure in transportation, telecommunications & energy

Tax exemptions and incentivesTax exemptions and incentives

Widespread and sound infrastructure.

Diversity in economic sectors and rich in oil and hydrocarbon resources,www.investiniran.ir www.iio.ir

ContinuedContinued 4th largest oil producer in the World

2nd highest gas reserves in the World

h h10th rank in tourism industry and potential of standing as the 5th in ecotourism

Having the largest and most diversified industries in the Middle east and North Africa Region,

4th rank in production of Zinc and 10th rank in production of Cobalt in the world.

One of the top producers of Lead, Aluminum, Manganese and Copper in the world

4th rank on diversity of Agriculture products in the world.


Ch t 2Chapter 2

Incentives and Benefits of Foreign ce tives a d e efits of o eig

I t t i IInvestment in Iran


T H lidTax HolidaysFixed corporate income tax at a flat rate of 25%

80% Exemptions of Income for 4 Years in Production Activities

100% of Income for 10 Years in Less Developed Regions (All

Activities)

100% of Income for 20 Years in Free Zones (All Activities)f f ( )

Agricultural: 100% of Income for No limited Time

Tourism: 50% of Income for No limited Timef f

Exports: 100% of Income Derived from Exportation for No

limited Timelimited Time


Customs ExemptionsCustoms Exemptions

Production Line Machineries and EquipmentProduction Line Machineries and Equipment

Raw Materials used for Production of Export commodities

All Production Line Machineries and Raw Materials in Free Zones


Investment Facilities in Free Trade Zones

A 20 years tax exemptionA 20 years tax exemption

No visa for the entrance of foreigners

Custom exemption

Easy registration of Companies

Easy circumstances for re‐export and transit of commodities

P ibili f i d h i l dPossibility of exporting products to the mainland

Long‐term lease of the land for the foreigners

Suitable rates for the energy consumption www.investiniran.ir www.iio.ir

Payment of

exploitation costs

by cash/ Preparation of Rent/ purchase of by cash/

installment

p f

suitable land

No need for

p f

ready-built Sites

Investment

No need for

different

permissions

15 reduction in price of land if

….

Facilities

in Industrial Easy and fast 0.5% reduction in price of land if

Parks access to Utilityin price of land if ….

Use of software

servicesFree of Charge Reduced

5 % reduction in price of land if

….. f g

servicesReduced

investment costs


Chapter 3

Introduction to

Foreign Investment Promotion and Protection

Act (FIPPA)Act (FIPPA)Features and Advantages


F i I P liForeign Investment Policy

Contribution to Economic Development

Financing Projects, Upgrading Technological & Management Skills,

Sharing Benefits and Risks on Equal Term without Discrimination

Advantages in Enhancing Products and Output Quality, Increasing Employment & Exports


Increasing Employment & Exports

Types of InvestmentsTypes of Investments

Direct InvestmentDirect Investment(Equity Participation) (Equity Participation) in All Areas Open to Iranianin All Areas Open to IranianPrivate Sector Without Any Limitation on thePrivate Sector Without Any Limitation on thePrivate Sector Without Any Limitation on thePrivate Sector Without Any Limitation on thePercentages of Foreign ShareholdingPercentages of Foreign Shareholding

Investment through Contractual ArrangementsInvestment through Contractual Arrangements(Non(Non‐‐Equity Forms):Equity Forms):‐‐ Buy Back ArrangementsBuy Back Arrangements‐‐ Civil PartnershipCivil Partnership


‐‐ BOT SchemesBOT Schemes

S f I t t dS f I t t dScopes of Investment under Scopes of Investment under FIPPA:FIPPA:

No Limit on:No Limit on:

Equity PercentageEquity PercentageEquity Percentage, Equity Percentage,

Investments Volume ,Investments Volume ,

Profit Transfer,Profit Transfer,

Capital Repatriation,Capital Repatriation,

Types of Capital Imported,Types of Capital Imported,

Import / ExportImport / ExportImport / Export.Import / Export.


Areas of Investment:Areas of Investment:Areas of Investment:Areas of Investment:

All Areas in Industry, Mining, Agriculture, and All Areas in Industry, Mining, Agriculture, and y, g, g ,y, g, g ,Services:Services:

II G fi ldG fi ld P j tP j t--In In GreenfieldGreenfield ProjectsProjects

--In In BrownfieldBrownfield projects and existing companiesprojects and existing companiesff p j g pp j g p


Risks Covered under FIPPARisks Covered under FIPPA

Currency Transfer,y ,

Nationalization & Expropriation,

Government Intervention and Breach

of Contracts by Government


Possibility of

Investment by foreign

Natural and Juridical

Persons and Iranians

Living Aboard

Equal Treatment with

Foreign Investors as

accorded to Domestic Living AboardInvestors

Some other

Quick Approval of

other Features

ofFIPPA Foreign Investment

ApplicationIssuing Three‐Year

Residence Permit for

FIPPA

Foreign Investors,

Directors, Experts and

Their Immediate FamilyTheir Immediate Family

Members,


Chapter 4

Supports & Services

Provided by

OIETAIOIETAI


Foreign Investment Services Center (FISC)Foreign Investment Services Center (FISC)

FISC has been established in 2002, ,In order to facilitate and expedite issues related to the admission and

activity of Foreign Investments in the Country, (based on Article 7 of FIPPA))

Provides all before Care and after Care Services The representatives from all related Government departments are oblige

to coordinator for all issues related to their respective agency for foreign investment facilitation.


Main Objectives of FISCMain Objectives of FISCMain Objectives of FISCMain Objectives of FISC

Facilitation Facilitation the FDI procedures in Iranthe FDI procedures in Iran ، ،

C di iC di i i h E i A i R l di h E i A i R l d CoordinationCoordination with Executing Agencies Related to with Executing Agencies Related to

Foreign InvestmentForeign Investment

A A focal point focal point for FDI applicantsfor FDI applicants،،

F ili i fF ili i f ffi i l dffi i l d f i df i d Facilitation of Facilitation of official procedures official procedures for required for required

permissions and licensespermissions and licenses


FISC’s MembersFISC s Members


SC ibiliFISC Responsibility


Key Services Offered by FISCKey Services Offered by FISCy ff yy ff y Necessary guidance to foreign

General supervision on foreign investment projects.

Necessary coordination concerning the issues including:

the declaration of establishment

the environment protection license

the permits for subscriptions utilities

the license for exploration and exploitation of mines, etc.

registration of joint venture company

registration of order for importation of machinery and equipments and other customs affairs

Tax affairs


ff

Procedure For Foreign Investor( Phases 1 to 4 )

1. Identification and Selection of Investment Project

2. Obtaining Preliminary Permit from Relevant Iranian Organization

3. Issuance of Foreign Investment License

4 Implementing of Project4. Implementing of Project


Investment Licensing Procedure : Investment Licensing Procedure : Simplified, Short and TransparentSimplified, Short and Transparent

SubmissionOfOf

Application

Final

LicenseDraft

License

PreparationAnd

Submission

Foreign

InvestmentOIETAIIssued Communicated

SubmissionOf a Report

Investment

Board

OIETAI

Max 5 Days Max 10 Days

Investment Opportunities

and Projects

in Iran


Other Official Other Official websites websites of the of the OIETAIOIETAIwww.investiniran.ir


IRAN INVESTMENT GUIDE Including: Introducing Iran macroeconomic

And Other Publicationsg

performance investment climate Areas of Opportunities The Regulatory Framework Visas & Work Permit and

procedures to obtain required i i d li f d ipermissions and licenses for doing

business in Iran


Organization for Investment Economic andOrganization for Investment, Economic and Technical Assistance of Iran( OIETAI)

www.investiniran.ir

www iio irwww.iio.ir

Foreign Investment Office

Tel: +98 21 33967755 – 33967075 Fax: +98 21 33967864

Foreign Investment Services CenterTel: +98 21 33967749 – 33967766 Fax: +98 21 33967774


investment in iraninvestment in iran - government.bgexport.government.bg › ianmsp › docs ›...

Documents