(National Post-Canada) Emanuele Ottolenghi and Saeed Ghasseminejad - Look at the psychological impact the Geneva deal had on Iran's economy. Within hours, Iran's currency, the rial, appreciated by 5% and shares of petrochemical companies soared on Tehran's Stock Exchange. By relaxing sanctions against the petrochemical and automotive industries, the U.S. is giving the Iranian Revolutionary Guards and the Supreme Leader a cash bonanza. Together, they control one-third of Iran's petrochemical sector. Iran has used the automotive sector to procure needed dual-use items and materials for its nuclear and ballistic missile programs over the years. Khodro and Saipa, the two main players in the car industry, are government-controlled. The agreement offers Iran much needed relief to its procurement efforts, a cash windfall to its channels of proliferation, and financial profit along the way.
2013-12-04 00:00:00Full ArticleBACK Visit the Daily Alert Archive