In its latest report Fraser Institute, a Canadian think tanker that measures the degree of the economic freedom in different world’s nations has indicated the considerable improvement of 19 spots in Iran’s rating.
Being amongst 10 least economically free countries in the world has shed a dark shadow over Iran’s economy and discouraged the potential investors from coming to Iran.
Last year the “Centre of Investment and Consultancy Services” of Tehran Chamber of Commerce, Industries, Mines and Agriculture (TCCIMA) organized a seminar in this chamber inviting the chief directors of the Fraser Institute, a global rating agency as well as senior Iranian business figures and officials with an aim to seek solutions as how to improve Iran’s ranking. Following the first meeting that was held last September, the Centre of Investment and Consultancy Services of TCCIMA hosted a series of meetings with the private as well as public sector in Iran, alongside economists, data and statistics experts and so on to find ways to improve Iran’s ranking which led to a major boost in Iran’s position in this ranking.
To mark this achievement Masoud Khansari the chairman of TCCIMA and Ferial Mostofi the president of the Centreof Investment, held a joint press conference in Tehran Chamber of Commerce and announced the news that Iran’sposition in the latest Fraser’s Economic Freedom report has improved 19 spots and Iran is now ranked 130th out of 162 countries.
Khansari illustrated that: “when the sanctions were lifted three years ago we realized that it’s time for the private sector in Iran to become more active and increase its economic collaborations with the international community”. Khansari further explained that Iran’s feeble position in international ranking concerning economic competitiveness, economic freedom, and so on made it a difficult task to convince investors to come to Iran. Therefore, and in an effort to address this problem, Tehran Chamber of Commerce took a number of measures including making contacts with both Iranian officials as well as prominent international rating agencies such as Bosch Foundation and Fraser Institute to improve Iran’s rankings. The chairman of TCCIMA explained that upon Tehran Chamber’s invitation Michael Walker, the founder and former executive director of the Fraser Institute alongside other key figures of this institute held a meeting in TCCIMA to evaluate Iran’s overall position in international rankings and further offer solutions to improve these rankings. Khansari concluded that upon providing the Fraser Institute with more accurate facts and figures concerning Iran’s economy, this rating agency was able to improve Iran’s position by 19 spots.
Further, Ms. Ferial Mostofi, the president of the Centre of Investment of TCCIMA noted that the Fraser Institute, which is a leading agency when it comes to economic rankings, refers to the facts and figures provided by international statistical and information agencies to determine a country’s score and rating. However, Mostofifurther explained: “given that Iran’s relation with the international community had been unproductive due to the sanctions some of the information and data that Iran’s rating was based on were inaccurate, to say the least, and we realized that the first step would be to provide Fraser with more up to date and valid data”. Mostofi indicated that TCCIMA as the parliament of the private sector in Iran was the only organization that possessed the power and access to first collect the data and statistics from respected organizations and to then pass them on to the international agencies in charge of collecting data and determining countries’ economic scores.
The Fraser Institute has introduced 5 indexes that determine economic freedom, which includes: size of government; legal system and property rights; sound money; freedom to trade internationally and regulation. Mostofi added that the Centre of Investment and Consultancy Services of TCCIMA over the past year hosted a series of meetings to discuss these indexes in more detail. In these meetings, representatives of the government as well as the private sector and economic and statistic experts were present and expressed their views regarding Iran’s ranking and what they perceived to be the solution to improve this ranking. Mostofi indicated that TCCIMA’s actions paid off and in the latest Fraser’s report, Iran’s score in the size of government and access to sound money indexes has improved which has led to an incline of 19 spots in Iran’s overall ranking.