How Gulf states could unlock US investment in Iran after sanctions end

As talks between Iran and the United States reach a pivotal moment, the prospect of Washington’s investment in Iran if sanctions are lifted looms. For both Iran and the US, this evolving dynamic presents a geopolitical dilemma.

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Washington’s hesitation is compounded by China’s increasing foothold in Iran. Beijing has been expanding its economic and strategic cooperation with Tehran, from long-term energy agreements to infrastructure development under the Belt and Road Initiative.
Meanwhile, Tehran faces a complex balance between Chinese investment and the possibility of reintegration into the Western financial system should sanctions ease. The outcome of these negotiations could redefine Iran’s economic trajectory and its place in the global power structure.
Iran’s stance on US investment is shaped by a complex interplay of strategic considerations. Historically, Tehran has maintained a cautious approach towards direct economic involvement. However, Iranian President Masoud Pezeshkian recently said Iran’s supreme leader Ayatollah Ali Khamenei had no opposition to US investors, a signal that Tehran is testing Washington’s appetite for economic engagement.

While Tehran is open to enticing US investors, its willingness is highly conditional, particularly tied to complete sanctions relief. Iran is wary of economic espionage and investment frameworks which could involve strategic concessions. Tehran is likely to emphasise that any foreign investment must be free from political conditions.

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Thus, Iran’s approach reflects calculated engagement rather than unconditional openness. If a nuclear framework stabilises, phased US investment under regional mediation could emerge as a possibility. However, any substantial economic opening would require approval from the US Congress.

South China Morning Post

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