J. Nouraei & M. Mostafavi Law Offices – 18 May 2025-Tehran- For many years, the state-run Organization for Investment, Economic and Technical Assistance of Iran (OIETA) has been in charge of attracting foreign investment. Now, to create an incentive for the private sector to make efforts and initiatives to attract foreign capital and assets, the government has approved the “Instructions for the Establishment and Operation of Investment Attraction Agencies” decree which was notified by the Minister of Finance and Economic Affairs on 15/02/1404 (5 May 2025) under number 80/22497, for implementation.
The National Council for Financing, which is foreseen in the “Law on Financing Production and Infrastructures” approved in 1402 (2024) and holds certain powers, had approved the aforementioned decree in its meeting dated 20/1/1404 (9 April 2025).
In this guideline, a foreign investor means a foreign investor subject to Article 1 of the Foreign Investment Promotion and Protection Act (FIPPA), and the investee is a natural or legal person, whether governmental or non-governmental, who refers to the agencies to gain financial and managerial resources, procure technology in the related project, and use the capacities foreseen in the present Instructions.
Based on the procedure that will be prepared and published subsequently, OIETA will issue licenses to the applicants to establish and operate investment attraction agencies and monitor the performance of these agencies. The company applying for an agency license will be established as a joint-stock company to begin its work. The shareholders and beneficiaries of the company could not be legal entities of the government and public sectors. The OIETA’s employees cannot have positions, shares, or activities in the agencies.
Suppose the number of licensed agencies reaches at least 20. In that case, OIETA may take the necessary steps to issue the go-ahead for such agencies to establish the “Association of Iranian Investment Attraction Agencies” as a professional guild for such brokerage. OIETA can introduce the association to domestic and international institutions, organizations, and forums, including WAIPA, namely the World Association of Investment Promotion Agency.
WAIPA is a global organization whose primary goal is to facilitate and promote cooperation between national investment promotion agencies in different countries. Through international collaboration, this forum facilitates improving investment conditions, exchanging experiences and information, and the promotion of foreign investment attraction policies and strategies. Last year, Iran’s former Minister of Finance and Economic Affairs, Mr. Abdolnaser Hemmati, participated in the 28th conference of WAIPA held in November 2024 in Riyadh, Saudi Arabia.
As set in Article 14 of the Instructions, the fee schedule for brokerage services of the agencies will be approved annually by the National Council for Financing upon OIETA’s proposal.
According to Article 3 of the Instructions, the agencies, within the framework of this directive, provide the following services in the field of foreign investment attraction:
1) Providing consulting services on issues related to the agency activities, including: financial, tax, commercial, legal and procedural laws and regulations and rules, designing financial and financing models, risk management, introducing legal incentives and exemptions, compiling feasibility studies and feasibility plans, assessing the market and locating projects, introducing the investment rules and conditions in Iran and how to obtain an investment license and other related consulting services.
2) Holding investment tours to conduct a field visit to foreign investment capacities, opportunities, and plans, and help select the appropriate location for the project implementation.
3) Submitting applications and following up on obtaining, extending and amending foreign investment licenses, bringing in and registering foreign capital and expatriating the foreign investment income and the principal foreign investment in compliance with the Foreign Investment Promotion and Protection Act (FIPPA) and its executive regulations.
4) Following up on the matters related to registering and making changes to the foreign investment project company.
5) Obtaining initial business permits from relevant agencies and renewing permits or obtaining permits for the development of foreign investment projects, as the case may be, based on the proceedings listed in the National Portal for Business Licenses.
6) Submitting applications and following up on the issuance and renewal of visas, residence permits, and work permits related to foreign investment.
7) Follow up on customs matters for foreign investors’ entry of non-cash capital in accordance with the investment decree.
8) Providing dispute resolution services in non-judicial and alternative methods in investment-related matters.
9) Conducting economic research and feasibility studies of the projects requiring foreign financing in various economic fields by international standards, creating a database of capacities, investment opportunities, and projects ready for partnership, and defining standard value chains at the national, regional, and provincial levels.
10) International marketing of opportunities and projects needing foreign investment (both governmental and non-governmental sectors) after inclusion in the country’s comprehensive investment information online system, establishing connections between potential and actual investors and investees through holding bilateral and multilateral meetings, coordinating the reception of foreign investors delegations and dispatching investment delegations abroad, holding specialized events, participating in investment events inside or outside the country.
11) taking measures to appropriately illustrate the country’s economic environment, assessing needs, designing and implementing educational programs on related topics, producing related content, including preparing clips, brochures and advertising teasers and distributing them in the media, setting up an online information base, using the capacities of social networks or other methods, compiling and publishing economic reports, promoting and developing investment literature and culture, and producing scientific content related to investment and promoting economic development, green economy and knowledge-based economy.
Note 1: For providing the services mentioned in this article or other services related to the subject of agency activity, if permits are required based on the current laws and regulations of the country, it is subject to obtaining the necessary legal licenses from the competent authorities. Note 2- The agency is free to use the services of natural and legal persons in the required specialized fields, including lawyers, auditing firms, travel agencies, and other related institutions, provided that they comply with the laws and regulations of the country.
Other rules of the Instructions are mentions in other parts of this 15-article decree.
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