INSIGHT: After Sanctions, Iranian and Foreign Firms Await the Good Times

Russia's second-largest state-controlled bank, VTB , said it hoped to carry out its first banking operations with Iran within months. And a British investor, Dominic Bokor-Ingram, launched a joint venture fund with an Iranian investment fund on Jan. 19 - two decades after he took a suitcase of cash onto the floor of the Moscow stock exchange to buy up shares after the end of communist rule.

But many other banks and firms, ranging from international oil companies to small investors, are treading carefully because of legal uncertainties and making sure they will not face heavy fines by violating the residual U.S. sanctions.

Looking for Opportunities

Small firms face similar concerns to bigger companies as they weigh up the risks and opportunities. Like their bigger counterparts, some had been preparing for years for the opening of Iran.

"I have friends in Iran who have been waiting for the sanctions to end so they can come and invest here," Fanaei said in his office in Qatar.

Iranian businessmen have for decades been travelling to Gulf Arab states that provide access to Gulf waters and free-trade zones in cities such as Dubai, re-exporting goods and circumventing sanctions. Their number should now grow.

"Qatar is an ideal market for us. There is rapid growth ahead of the World Cup (to be hosted by Qatar in 2022). Local partners here appreciate Iran's expertise in industry and technology," Fanaei said.

Fanaei's new business partner, Mohammed Sultan Al-Jaber, who is chairman of the Aljaber Group, said "political issues" such as a rift between Iran and Saudi Arabia would not impede Arab-Iran business partnerships.


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