Iran’s free zones attract US$461 million in foreign investment in eight months

Iran’s free trade and special economic zones recorded a significant surge in foreign investment, attracting US$461 million in the first eight months of the current Iranian year (March 20–November 21), according to the Secretariat of Iran’s Free Zones High Council. This represents a 695 per cent increase compared with the same period last year.

Official figures show foreign investment inflows rose sharply from US$58 million in the previous year, achieving 227 per cent of the full-year target. Domestic investment also strengthened, reaching over US$8.0 million, a 30 per cent year-on-year increase, fulfilling 78 per cent of the planned target. This is reported by Tehran Times, a partner of TV BRICS.

Actual domestic investment realised during this period climbed 18 per cent to US$2.3 million, up from US$1.94 million a year earlier, achieving 71 per cent of the projected target. Meanwhile, realised foreign investment soared 261 per cent year-on-year to US$372 million, surpassing the initial target of US$151 million and reaching 242 per cent of the planned level.

Trade from Iran’s free zones also expanded, with exports reaching US$994 million, up 19 per cent from US$836 million a year earlier, accounting for 65 per cent of the annual target. Imports totalled US$1.439 billion, supporting essential domestic needs.

Production activity within the zones demonstrated similar growth, with the value of goods produced rising 31 per cent to 3,488 billion rials, compared with 2,384 billion rials in the same period last year, achieving nearly 90 per cent of the production target.

Officials noted that the free zones are increasingly contributing to domestic production rather than functioning solely as trade hubs. They highlighted the potential for further economic impact if structural and administrative barriers are addressed.

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