Is The Lifting of Sanctions Changing the Face of Iran?

                by David Parmer/Tokyo

Many people had high hopes that the lifting of sanctions after the signing of the Iran nuclear deal in July 2015 would change the shape of Iranian society, and point the country in a new direction. Well, it has–to a certain extent. Here is the good news. Oil production has dramatically increased, GDP has been raised, and trade has been expanded. The economy is on track for 4%+ growth in 2016 and 2017. What’s more foreign trade delegations have come to Iran like guests in a hotel revolving door. And deals are on the table with the likes of Boeing, Airbus and GE. And reports suggest that trade and financial transactions are a lot easier after the lifting of sanctions. So where is the rub?

Iran faces a strong headwind of opposition from a variety of sources. Domestically, the country’s own hardliners are skeptical of the nuclear deal. Certainly, the Revolutionary Guards, the protectors of the Revolution and their own economic interests are not cheerleading for the deal and its aftermath. President Hasan Rohani is getting no support there. And then there is Saudi Arabia, champions of Sunni Islam who do not want to see prosperity come to their archrivals, Shia based Iran.

There are others who never supported the deal, and fear that Iran will use its newfound wealth to support its proxies in the region including Hezbollah. These “never supported” groups include right wing America and Israel.

Will the lifting of sanctions (and in fact it is really “some sanctions”) change the Iranian society and economy? It will, but other factors must also be addressed, and these include corruption and lack of transparency. There is also the question of the Revolutionary Guards being a major player in the country’s economy. Given a chance, Iran will become more moderate and will create a better society for its citizens. It will become a trusted member of the community of nations in its neighborhood and in the world. If Iran can weather the strong winds of opposition blowing against it, then maybe there is a real chance for change.

Photo: Giorgio Montersino via flickr