Page 19 - bne IntelliNews Country Report: Iran Dec17

Kurds towards establishing an independent state and on the side of blockaded Qatar in its dispute with fellow Gulf Arab monarchies. They may also both be wary of the consequences of Saudi Arabia's move to deepen cooperation with Russia.
5.1.3 Gross international reserves
The value of Iran’s foreign exchange and gold bullion reserves stood at $135.5bn as of the end of 2016, according to newly released CIA data, the Tehran Times reported on January 24.
Iran’s dollar and gold reserves have been on the decline in recent years due to the Central Bank of Iran (CBI) using the assets to keep ministries afloat amid the impact of international sanctions. But the $135.5bn figure would represent a $25.5bn increase was recorded over the past year, leaving Iran with a world ranking of sixteenth.
The Iranian newspaper noted that at the level given by the CIA data, Iran’s reserves of gold would exceed those of Italy, the UK, Turkey, Canada and Spain. Iran’s FX and gold have in recent years taken hits due to successive governments dipping into the reserves for state projects.
As part of a prisoner swap deal in 2016, which included Washington Post reporter Jason Rezaian, Iran received some $1.4bn in cash from the US for dues owed to the country from before the Iranian revolution of nearly four decades ago.
5.2 Free trade agreements
Iranian-style KitKat may be headed for EEU as part of free trade deal
Kazakh regional governor pushes for Iran’s ascension into Shanghai
Iran is set to export biscuits and chocolate as part of a broader free trade deal with Eurasian Economic Union (EEU) states, Tehran’s Financial Tribune daily reported on November 1. Iranian producers see the export markets to the north as ideal for expansion following a recent push to export products to Qatar. For instance, it now stocks Iran’s version of the KitKat, the Hiss.
According to a draft agreement between Iran and the EEU signed in July, Iran will be able to sell some 350 items to the trade bloc in exchange for another 180 flowing the other way. The EEU groups Russia, Belarus, Kazakhstan, Armenia and Kyrgyzstan in an integrated single market of 183mn people, with a gross domestic product of over $4tn.
Trade breakthroughs in Qatar have resulted from Iran’s support for the tiny gas-rich peninsular nation since it was blockaded by a group of countries led by Saudi Arabia that are unhappy with its claimed support for certain militant and terrorist groups and closeness in areas of policymaking to Iran. Earlier this year, another Iranian-produced product, Mihan orange juice, was spotted by an Iranian on a flight to Doha, causing a stir among trade observers on social media.
Kazakhstan's Kyzylorda regional governor Krymbek Kusherbayev said during a visit to Iran’s Mazandaran province that his country fully supports Iran joining the Shanghai Cooperation Organization (SCO), Kazinform reported on October 23. The Kazakh backing comes with Iran
19 IRAN Country Report November 2017 www.intellinews.com