$800 billion outflow from Iran in 40 years
The phenomenon of capital flight from Iran is not a phenomenon that has been discovered recently. This time, however, officials have published statistics on the amount of capital outflow from Iran during the Islamic Republic's rule: an outflow of $800 billion in 40 years.
It is said that more than 100,000 people are in line to obtain investment visas, and even ordinary and middle-class people are thinking about leaving the country by buying houses and villas.
One of the reasons for the currency crisis prevailing in the country and the continuous rise in the price of the dollar and other foreign currencies against the Toman is explained by the tendency for assets and capital to leave the country. A tendency that has intensified following the increase in tensions in the relations between the Islamic Republic of Iran and neighboring countries, as well as following Donald Trump's threats.
The website "Fararo" published a report on the issue of capital flight from Iran on April 18. The report, titled "The Great Capital Flight!", provides statistics and information about the outflow of capital and money from Iran.
The cost of rebuilding two war-torn countries
Farhad Ehteshamzadeh, Chairman of the Board of Directors of the Iranian Import Federation, has announced the news of billions of dollars in capital outflow. According to “Shahrvand,” the amount of capital outflow from Iran over the past 40 years has exceeded $800 billion.
The same media outlet stated that this amount of money could easily cover the cost of rebuilding the two war-torn countries. The report states: “To understand the magnitude of this number, it is enough to know that Bashar al-Assad has estimated the money needed to rebuild Syria at $400 billion. In this way, we can say that in the past 40 years, capital equivalent to the cost of rebuilding the two war-torn countries has flowed out of Iran.”
Areas of financial corruption
Ehteshamzadeh has also made some comments about the Central Bank's recent policies and the single-rate exchange rate in the country. For example, he believes that the Central Bank's financial policy regarding the provision of foreign exchange for the import of 33 items could in practice create opportunities for financial corruption.
The chairman of the board of directors of the Iranian Import Federation said in this regard: "Any type of subsidy and restriction creates a potential space for corruption."
Capital flight and immigration
It is not just Iranian capital and wealth that is leaving the country. The phenomenon of capital flight is tied to the phenomenon of migration. This is while migration from Iran is not limited to the wealthy and affluent segments of society.
The "Tabnak" website published an article quoting Majid Reza Hariri, Vice President of the Iran-China Chamber of Commerce, reporting on the increase in demand for investment visas.
According to the report, more than 100,000 people are waiting in line for investment visas. In addition, more than 1.5 million people have applied for immigration to Australia and Canada.
According to him, even “ordinary and average people” are thinking about leaving the country by buying houses and villas. He has advised officials to find solutions to deal with the phenomenon of migration.
Source: DW
