What Are the Main Limitation Bugs for the Iranian Businesses

What Are the Main Limitation Bugs for the Iranian BusinessesOne of the main goals of President Hassan Rouhani from his first round of presidency was creation of more jobs by absorbing foreign investments and debugging the problems over the business foundations. Several plans have been offered during last 5 years and many experts have worked on the jobless problems, but it seems that wither none of it have been successful or the level of satisfaction has been low. This short article may say why?

“Ehsan Soltani” one of the young Iranian researchers in economy has summarized the main difficulties of the new investors in Iran in several groups and by giving them a value has produced  chart which shows the main bugs of the Iranian businesses. First let’s have a look at the chart:

What Are the Main Limitation Bugs for the Iranian Businesses

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

According to the above chart the main limitation in the development of the Iranian businesses if financing by all its hidden values; Financing starts from a local bank in the vicinity of the business location and goes up to the regulations of any central banks of all countries. In fact, the CBI’s in all countries are responsible to provide enough assurances for foreign trading (and specially the financing institutes) companies that they are strongly supporting their country’s businesses. It seems the the CBI of Iran is more talking than acting and so it has received bout 16 out of 20 at this survey.

Inflation is another key factor for a successful business control. Even during last 5 years the government has been able to control the effect of inflation over the economy but the above chart has a number of 13.1 for the effect of inflation over the businesses success in Iran.

Not amazing at all, the bureaucracy is also another hard brake for the successes of any business. Iran has been widely famous for its bureaucracy over centuries and even efforts over developing the electronic government during last 10 years.

In our opinion, corruption could be considered as one of the most important factors which may affect many sides of a business, to which we at PIMI will provide a special article in near future.

What Are the Main Limitation Bugs for the Iranian Businesses
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