Page 28 - IRANRptDec21

Iran’s foreign exchange reserves $85bn in 2020, estimates IMF
The SCEC has also waived duties imposed on raw imports of three precious metals, namely gold, silver and platinum.
It said importers of the three metals would be exempt from paying all duties and taxes, including a 9% value-added tax charged on finished products.
According to the IMF in its Regional Economic Outlook on May 4, the value of Iran’s gross official reserves was estimated to reach $108.4bn in 2020. The country’s gross official reserves will experience a $13.3bn jump in the current year rising from last year’s $95.1bn.
In an April report, the IMF predicted that Iran's foreign exchange reserves would be $85bn in 2020, but around 90% of the reserves are frozen abroad by sanctions.
The prices of Iranian gold sovereigns have also been rising on the open market. The Emami coin price moved up by around 0.7% on May 17, while the prices of half coins and quarter coins gained by more than 2.5%.
5.2 FTA, multilateral agreements
Iran urges Russia to step up efforts to create an EEU FTZ
Iran expands trade with Azerbaijan
Iran is pushing Russia to step up the pace in finding an agreement for a permanent free trade zone (FTZ) that would apply to the Islamic Republic and its trade flows with the five countries of the Moscow-led European Economic Union (EEU).
Mehr News reported that at a November 18 meeting between Iranian Deputy Minister of Industry, Mining and Trade Alireza Peyman Pak and Russian Ambassador to Tehran Levan Jagaryan, the Iranian official made clear Iran’s desire for faster work on achieving the zone. The EEU bloc is made up of Russia, Kazakhstan, Kyrgyzstan, Belarus and Armenia. Trade between Iran and the EEU member states has for around two years been conducted according to a temporary three-year preferential trade agreement (PTA). Iran’s sanctions-hit economy remains in poor shape with a fresh bout of jitters on the Tehran Stock Exchange and the failure of the Iranian rial (IRR) to pull away from all-time lows two of the present concerns on local investors’ minds. Gold prices, meanwhile, are finding record highs.
At his meeting with Jagaryan, Peyman Pak reportedly commended growing bilateral trade between Iran and Russia. For his part, the Russian diplomat outlined the merits of large Russian companies that could cooperate with Iranian enterprises in third countries in manufacturing and the food sector, among others.
Iran's trade with Russia reached $1.168bn over the first seven months of the current Persian calendar year (March 21 to October 22), of which $317mn was made up of Iran's exports to Russia.
Iran and Azerbaijan are looking for ways to remove trade barriers, including exemption from fees for Iranian trucks passing through the territory of Azerbaijan. According to Iranian media, the Iranian Minister of Roads and Urban Development Rustam Qassemi stated this on November 22. According to him, this issue was discussed at a meeting with deputy premier of Azerbaijan Shahin Mustafayev, who is currently on an official visit to Iran. The parties discussed issues of expanding economic and trade ties, simplifying transport links between the countries.
“We will examine the issue of tolls on Iranian trucks and how to facilitate transportation ties between the two countries,” said Qassemi, adding that he would raise the tolling issue in a private meeting with Mustafayev.
28 IRAN Country Report December 2021 www.intellinews.com