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51. Potential Gains: Why Did India Exempt the Iranian Oil Payments from Taxes?

Author:
FARAS
Publication Date:
01-2019
Content Type:
Commentary and Analysis
Institution:
Future for Advanced Research and Studies (FARAS)
Abstract:
India has recently exempted Iranian oil payments from taxes and fees, in a move aimed at fostering its relations with Tehran, in the wake of the US temporary waivers, in November, to India along with seven other countries from the sanctions on Iranian oil imports, in order to be able to develop the Iranian port of Chabahar. The US waivers have allowed India to resume trade and investment relations with Iran, albeit in a limited manner. However, despite the expected gains, economic relations between India and Iran will hinge on the extent to which the US administration will renew the waivers granted to the eight countries, to continue buying Iranian oil after the current grace period expires.
Topic:
International Relations, Oil, Sanctions, and Tax Systems
Political Geography:
Iran, South Asia, Middle East, India, North America, and United States of America

52. A Reflecting Mirror: How Does the “Past” Still Influence Middle East Dynamics?

Author:
FARAS
Publication Date:
01-2019
Content Type:
Commentary and Analysis
Institution:
Future for Advanced Research and Studies (FARAS)
Abstract:
Remnants of the past have become one of the drivers of the region’s interactions in 2019, via various forms, such as the call to restore membership of some organizations after it has been on a freeze for years, sending messages of resistance through arts and music, eruption of student protests over the policies of the existing governments, and betting on the networking of economic interests at times of international sanctions and wars.
Topic:
History and Sanctions
Political Geography:
Iraq, Iran, Middle East, Syria, and Jordan

53. Cautionary Anticipation: How did Iran deal with the newly imposed American Sanctions?

Author:
FARAS
Publication Date:
09-2019
Content Type:
Commentary and Analysis
Institution:
Future for Advanced Research and Studies (FARAS)
Abstract:
Iran is still anticipating the various alternatives that the United States may utilize to address the Iranian escalatory behavior, during the coming period. Such actions may not be limited to the new sanctions imposed on September 20, 2019 that included the Central Bank of Iran, National Development Fund and Etemad Tejarat Pars. Arguably, the procedural steps planned by the Donald Trump's administration will substantially determine the possible alternatives for the Iranian reciprocal behavior/ which Iran may rely on.
Topic:
Oil, Sanctions, and Economy
Political Geography:
Iran, Middle East, North America, and United States of America

54. The Iranian Empire Cracks, at Home and Abroad

Author:
Paul Rivlin
Publication Date:
12-2019
Content Type:
Commentary and Analysis
Institution:
Moshe Dayan Center for Middle Eastern and African Studies
Abstract:
In our latest issue of Iqtisadi, Paul Rivlin discusses the effects of sanctions on the Iranian economy, and on its currency and governmental institutions, in particular.
Topic:
Government, Sanctions, Economy, and Currency
Political Geography:
Iran and Middle East

55. To Understand Iranian Foreign Policy, Look at Iran's Politics at Home

Author:
Alex Vatanka
Publication Date:
03-2019
Content Type:
Journal Article
Journal:
The Ambassadors Review
Institution:
Council of American Ambassadors
Abstract:
Iran’s Supreme Leader Ayatollah Ali Khamenei, a cleric who will turn 80 in July 2019 and has ruled over Iran since 1989, has made a political career out of demonizing the United States. And yet, he knows full well that at some point—whether in his lifetime or after—Tehran has to turn the page and look for ways to end the bad blood that started with the birth of the Islamic Republic in 1979. But Khamenei’s efforts to make the United States a strawman are not easily undone in present-day Tehran, where anti-Americanism is the top political football, as the two main factions inside the regime—the hardliners versus the so-called reformists—battle it out for the future of Iran. Meanwhile, President Donald Trump’s “maximum pressure” on Iran has made it all but impossible for Khamenei to meet Washington half-way. Accordingly, the best Khamenei can do for now is to wait out the Trump White House. There will be no Khamenei-Trump summits. That much is abundantly clear if one listens to the chatter from Tehran. But the issue of possible relations with post-Trump America is still hotly contested in the Islamic Republic. In the meantime, with Trump’s re-imposition of sanctions from November 2018, Tehran’s hope in the short term is that Europe, together with Iran’s more traditional supporters in Moscow and Beijing, can give Iran enough incentive so that it can ride out the next few years as its economy comes under unprecedented pressure.
Topic:
Diplomacy, Nuclear Weapons, Military Strategy, Sanctions, and Domestic Politics
Political Geography:
United States, Iran, Middle East, and Israel

56. Russian and Iranian Economic Interests In Syria (Pre-2010 and intra-war period)

Author:
Hamidreza Azizi and Leonid Issaev
Publication Date:
02-2019
Content Type:
Working Paper
Institution:
The Geneva Centre for Security Policy
Abstract:
Discussion paper for the workshop on: “The Politics and Modalities of Reconstruction in Syria”, Geneva, Switzerland, 7-8 February 2019. There has historically been low levels of trade and investment from both Russia and Iran with Syria, with trade in military items being a notable exception. While the trade relationship between Syria and its two main allies predates the conflict, levels of trade had been remarkably low before the crisis, in contrast to mainstream perceptions. Yet, these figures cannot be confirmed due to unavailability of a comprehensive record of the Syrian bilateral relationship with Iran and Russia. Internationally imposed sanctions have discouraged Russian and Iranian companies from doing business with Syria. Lacking any other resources, the only way that Syrian could repay debts to its allies would be to grant exclusive access to energy and natural resources. This however would reduce the public revenue needed to rebuild state institutions, and also encourage foreign rivalry over economic opportunities. As Syria lacks any coordination mechanism for post-war economic reconstruction, Russia and Iran have set their eyes on the energy sector, where Russia has the upper hand. Yet, cooperation is also possible in other sectors, such as Syria’s rail sector. In order to understand the Russian and Iranian economic relationship with Syria, two factors should be considered. First is the informal relationship between Syria and its two allies, which has taken the form of unofficial agreements and trade. These would be important when sanctions are lifted. The second factor is military exports to Syria, expected to be large, given the scale of war and Syrian reliance on Russia and Iran. Due to lack of official data, this paper will not consider both issues.
Topic:
Economics, Sanctions, Conflict, Syrian War, Investment, and Trade
Political Geography:
Russia, Iran, Middle East, and Syria

57. Iran Has a Slow Motion Banking Crisis

Author:
Adnan Mazarei
Publication Date:
06-2019
Content Type:
Policy Brief
Institution:
Peterson Institute for International Economics (PIIE)
Abstract:
Suffering under Western sanctions and security challenges, Iran faces problems as well from its fragile banking system, which has been languishing for decades. Liquidity and solvency weaknesses pose a growing risk to the country’s financial stability. The sanctions reimposed by the United States in 2018 have heightened these vulnerabilities, but the problems also result from the heavy-handed role of the state, corruption, and the Central Bank of Iran’s failure to regulate and supervise the system. Iran’s ability to avoid a run on its banks is aided by their reliance on liquidity assistance, deposit insurance, and regulatory forbearance from the central bank. Depositors are forced to be patient because they have limited options to invest elsewhere. Iran has thus avoided a full-blown banking crisis. But the situation is not sustainable. Banks remain susceptible to external shocks, which could come from a complete halt to oil exports or war.
Topic:
Security, Financial Crisis, Sanctions, Banks, and Financial Institutions
Political Geography:
Iran, Middle East, North America, and United States of America

58. The politics of hope: a nation’s patience tested

Author:
Ali Tehrani and Azadeh Pourzand
Publication Date:
01-2019
Content Type:
Journal Article
Journal:
Harvard Journal of Middle Eastern Politics and Policy
Institution:
The John F. Kennedy School of Government at Harvard University
Abstract:
Winter 2019 marked the 40th anniversary of the 1979 Islamic Revolution in Iran. The anniversary celebrations occurred in the midst of a difficult era of socio-economic turmoil, the return ofَ U.S. sanctions, and deepening political infighting in the Islamic Republic. Tensions between the government and the people are especially high. The tectonic plates of social change have been shifting below the surface in Iran over the past two decades, with major discontent erupting in the past year. While the country’s political facade appears largely unchanged, tensions and fragmentations among the ruling elite have deepened. Economic conditions are fast deteriorating for the average citizen, while political repression remains a harsh reality. Iran’s citizens, who have clung to hope and the possibility for change through decades of domestic repression and isolation from the global economy, struggle to remain hopeful. Collective fatigue stemming from years of isolation from the global economy, as well as domestic economic hardship, compounds the disappointment Iranians feel from unfulfilled political promises. The Iranian government has repeatedly failed to carry out promised reforms; in recent years alone, President Hassan Rouhani has proven unable to carry out his promises to “open up Iran politically, ease rigid social restrictions and address human rights abuses.” As this situation continues, Iran risks despair and chaos.
Topic:
Government, Politics, Social Movement, Sanctions, Nuclear Power, Reform, Economy, and Memory
Political Geography:
Iran and Middle East

59. Iran’s New Budget Is Tight, But Not Tight Enough

Author:
Patrick Clawson
Publication Date:
12-2019
Content Type:
Policy Brief
Institution:
The Washington Institute for Near East Policy
Abstract:
Rouhani has taken a remarkably austere fiscal approach ahead of the looming parliamentary election, but the country’s economic situation is still not sustainable over the long run. On December 8, following established procedures, President Hassan Rouhani visited parliament to present his budget for the Iranian year 2020/21, which begins in March. Notwithstanding the government’s rosy rhetoric, his spending proposals show the tough times the Islamic Republic is facing.
Topic:
Foreign Policy, Oil, Sanctions, Budget, Elections, and Economy
Political Geography:
Iran and Middle East

60. American Sanctions and Military Action against Iran

Author:
Udi Levi
Publication Date:
12-2019
Content Type:
Working Paper
Institution:
Jerusalem Institute for Strategy and Security (JISS)
Abstract:
A critical point has been reached where sanctions and military conflict connect. Tehran needs and seeks a limited military confrontation with the West in order to shore-up its legitimacy at home.
Topic:
Diplomacy, Military Strategy, Sanctions, Conflict, and Intervention
Political Geography:
Iran, Middle East, North America, and United States of America