Islamic Republic of Iran 
Ministry of Economic Affairs and Finance 
Organization for Investment Economic and Technical Assistance of Iran

The implementing regulations 
Foreign Investment Promotion and Protection 


Chapter I - Definitions 

Article 1 - 
All terms and phrases in Article 1 of the Foreign Investment Promotion and Protection Act is defined in these regulations have the same meaning as is. 

Other terms and expressions used in these regulations may have the following meanings: 

A - Regulations: Regulations implementing the Foreign Investment Promotion and Protection 
B - Investment Project Firm: 
Existing and new Iranian companies or foreign capital to one of the methods contained in the Act, it is used. 

C - non-governmental sector: 
Private sector, cooperatives, corporations and public institutions and NGOs. 

D - center: 
Service Center for Foreign Investment in the implementation of Article 7 of the Act is in place. 

- The country's official monetary system: 
Banking system (Central Bank banking network including Azdvlty Vghyrdvlty) and non-bank credit institutions authorized by the Central Bank monetary and foreign exchange activities of all institutions that deal with the central Bamjvzbank. 

And - Institute for the audit: 
Institute of certified public accountants audit the selected member of the audit institutions of Iran, the issue of "specialized and professional services from a qualified Accountant Accountants' Act 1372 and the audit, is selected by the organization. 

Chapter II - 
Methods and acceptance criteria 

Article 2 - 
Foreign investments in the territory of Iran's law is accepted, the facilities and support is contained in the Act. Acceptance of such investments based on the general conditions of admission of foreign investment and provide a written application by the foreign investor and the rules prescribed in the regulations. 

Article 3 - Adoption of foreign investment law and the criteria set forth in these regulations within Zyrmysrast methods. The methods of foreign investment, in terms of features and facilities offered by the Ministry of Economic Affairs and Finance and will be announced. 

A - foreign direct investment 
B - Foreign investment in the framework of contractual arrangements include a variety of methods to "build, operate and transfer" and "Buy-Back" and "civil partnership" 

Article 4 - 
Procedures of Article (3) The regulations in terms of investment and protection coverage of the Act and regulations and Ts·hlat common or specific features, are as follows: 
A - Common features and facilities:

  1. Foreign investors enjoy the same treatment as domestic investors.
  2. Cash and in kind solely on foreign capital investment license shall be made and authorization is not required.
  3. Volume of foreign investment in each case is not subject to any restrictions.
  4. Guarantees against nationalization and expropriation of foreign capital and foreign investors in these cases are entitled to compensation.
  5. Transfer of capital, profits and capital gains from the exchange and application of a capital case if the goods specified in the licensing of investment is possible.
  6. Freedom to export goods produced in the investee firm is guaranteed and if the ban on exports of commodities produced and sold in the form of exchange through the official channel of monetary transmission is out.

B - Special Features and facilities: 
1 - The foreign direct investment: 
1-1 - investment in private sector activity may be permitted in all lands. 
1-2 - There are no restrictions in terms of participation of foreign investment. 

2 - Investing in the framework of contractual arrangements: 
2-1 - to offset losses resulting from foreign investment ban or suspend the agreement, the financial result of legislation or government decisions up to a maximum payment at maturity is guaranteed by the government. 
2-2 - the methods of "build, operate and transfer" and "civil partnership", the purchase of goods and services produced by Mark Mvrdsrmayh government contracts, in cases where the state monopoly buyer or supplier of goods and services produced price is subsidized, in the framework of legal regulations is guaranteed. 

Article 5 - 
Natural and legal persons seeking Iranian investment in the country, in order to enjoy the facilities and support documents should confirm that the economic and commercial activities abroad, and the provider. 

Article 6 - 
Protection of the Act that no foreign investor has already invested in Iran, the admission procedure for the conduct of investment protection under the Act to be. After the licensing of investment, the investor benefits from all the law and the possible transfer of profits to be enjoyed. These investments are generally considered the investment of foreign capital and the adoption of general rules to follow. 

Article 7 - 
Foreign investment in the existing economic institutions through the purchase of shares and capital increase, or a combination of the admission procedure will be entitled to the benefits of this Act, provided that the investment, to create added value. The new value can result in increased investment firm or management objectives such as promotion, export development and improve the level of technology available to the firm. 

Article 8 - 
When evaluating and licensing board of any proposed foreign investment, these ratios were determined in paragraph "d" of Article 2 of the Act shall Vahraz: 

A - Proposal details including the type and amount of production of goods and services, timing and operational plans and sales forecasts for domestic or abroad, shall be included in the sample application investment. 
B - the official statistics on the competent authorities of the internal market of goods and services supplied at the time of licensing, sector and related fields, by the Department of Economic Affairs Ministry of Economic Affairs and Finance is obtained.Board decisions are based on statistics by the end of the first quarter of each year by the Department shall provide to the organization. 
C - The list of different economic sectors Vrshth attached to these regulations will be done. 
D - None of the amount invested in each Vrshth, the following items listed in paragraphs "a", "B" and "c" of this Article, the value of goods and services in the domestic market and in compliance with the exemption of capital restrictions Mark for export of goods and services resulting from foreign investment abroad, and if determined by the Board approval, the investment license is issued.

Note - change in share value of goods and services produced by foreign investment or changes in the value of goods and services in the domestic market at the time of licensing criteria for the investment decisions of the Board, the licensing affect the validity of the license investment will be. 

Article 9 - 
Transfer of proprietary rights to the Iranian side of the contracts, "build, operate and transfer" agreement by the parties, through the gradual transfer of proprietary rights in the duration of the contract or the transfer of acquired rights together in the end, it is practical. 

Article 10 - 
Contracts "build, operate and transfer", transfer of ownership rights for foreign investors to finance the investment of suppliers, can be done with the approval of the Board. 

Article 11 - 
Investment in those projects that a state monopoly buyer of goods and services produced, and also in cases where goods and services produced in the investment plan is to offer subsidized prices, the government can produced goods and services produced in The rates and prices specified in the contract provisions concerning the legal guarantee. 

Chapter III - The Reception 
Article 12 - 
While performing the duties related to the acceptance and protection of foreign investments within the law, the responsibility for guiding and encouraging foreign investment activities in and outside the country and the legal infrastructure and the opportunity to introduce investment, Studies and Research, Holding Meeting of and seminars, International institutions and organizations concerned with the joint cooperation and communication and coordination with other agencies in collecting, adjusting, and presenting data on foreign investment is in charge. 

Article 13 - 
Responsibilities of the board and investment decisions with respect to all requests, including requests relating to adoption, and utilization of foreign capital entry and repatriation of capital and is responsible for benefits. 

Article 14 - 
Fixed by board members, four deputies specified in Article 6 of the Act and board meetings attended by at least three members of the force constant and decisions are taken with at least three votes in favor. Vice Chairman of the Board with voting rights in Bdvt other relevant ministries will attend. In this case, the majority decides the vote occurs. 

Article 15 - 
Investors, their written application accompanied by the documents specified in the related organization may submit. After the necessary investigations and obtaining the relevant ministries, departments, calls with the investment expertise of the Board shall within 15 working days. The ministry concerned within ten days from the date of receipt of the inquiry, as it agrees with investment department shall be considered. I agree that the decision of foreign investors than it has received, the investment license and with the approval and signature of the Minister of Economic Affairs and Finance may be issued. 

Note - the details of the investors in the investment license, the type and mode of foreign investment, how to transfer profits and benefits and other conditions relating to approval of investment projects, will be. 

Chapter IV - Foreign Investment Service Center 
Article 16 - 
In order to facilitate and accelerate the organization's legal obligations in the areas of encouragement, acceptance and support of foreign investors in the country, Mrkzkhdmat foreign investment in local organizations and representatives of relevant agencies that are deployed. The center, a center of reference for all applicants, foreign investment will be relevant to organizations. 

Article 17 - 
Ministry of Economic Affairs and Finance (State Taxation Affairs Organization, the Islamic Republic of Iran Customs Administration), Ministry of Foreign Affairs, Ministry of Commerce, Ministry of Labor and Social Affairs, Ministry of Industries and Mines, Ministry of Agriculture, the Central Bank of Iran, and the Companies Registration Office Industrial Property, Environmental Protection Agency and other agencies specified by the Minister of Finance and Economic Affairs, Plenipotentiary Representative of the highest executive authority of the signing of the device are introduced. 
The representatives of the respective staffs of the employment regulations deemed necessary and appropriate in terms of volume and demand for foreign investment and investors, announced today the organization has been at the center so that their duties in accordance with this Article shall be responsible for future reference. 

Article 18 - 
Representatives on behalf of the Executive shall be referred all matters relating to its administrative and service units are connected with foreign investments. H. The relevant executive agencies is required to perform tasks that are assigned to the representative of law and regulations, duties, responsibilities and powers of the representative subset of all its units and simultaneous notification to the executive affairs of Foreign Investments your responsibility to review the manner in which tasks should be representative of the facility. 

Article 19 - 
The relevant executive agencies, in order to maintain continuity of services activities in executive Mrkztrtyby to adopt the present representative, another person with the same characteristics as the introduction to his successor in the absence of its representative to perform the duties, if necessary, the a maximum of two people at senior level executive for administrative tasks related to those in the Center. 

Article 20 - 
Foreign Investment Service Center functions as may be Zyrtyyn:

  1. Provide information and consultations to foreign investors.
  2. Coordination of related licenses required by the Declaration on the establishment, environmental permits, licenses to split water, electricity, gas, phone, etc. exploration license and mining license from the relevant agencies before the investment.
  3. Coordination on matters related to visa, residence permit and work permit individuals associated with foreign investment.
  4. Coordination on matters related to foreign investment after the investment license of registered joint venture company, orders and matters related to investment and export, customs and tax issues, etc..
  5. Coordination required by the representatives of the executive departments concerned in connection with applications for foreign investment.
  6. Good performance in health care decisions that are taken on foreign investment.

Chapter V - 
New regulations, evaluation and registration of foreign capital 

Article 21 - 
Arrangements relating to entry, evaluation and registration of foreign capital, including cash and in kind is as follows: 

A - Capital Cash

  1. Foreign currency cash in paragraph "a." Article 11 of the Act or Drykdfh repeatedly to enter into the IRR to be converted in USD, adjusted by the bank certificate to the foreign investor registered under the Act be. Equivalent of local currency against the investee firm's account or accounts shall be deposited into an investment project.
  2. Foreign currency cash in paragraph "b" of Article 11 of the Act, once or repeatedly to enter the country and can not be converted to USD, the currency account investee firm or investment project will be paid. The funds deposited in the name of the foreign investor is registered under the Act. Mentioned aspects of the supervision and approval of the purchases and orders related to foreign investment is foreign.

Note - the network is required on the official money exchange transfers related to foreign investment, with the name of the assignor, the currency of exchange, receipt, exchange date, the name of the investee firm, and if converted to USD, equivalent to local currency incurred, directly to the certified organization. 

(B) - Investment in kind 
Kind of foreign investment include the cases mentioned in paragraphs "b", "c", and "d" following the definition of foreign capital in Article 1 is the entry procedures, valuation and registration is as follows:

1 - The items of foreign capital in kind, subject to paragraphs "b" and "C" above (including machinery, equipment, tools and spare parts, the parts, materials, additives and auxiliary) with the approval of the Ministry of Commerce of the items foreign capital in kind, in order to declare statistical and customs relevant to the evaluation and clearance for imported items, shall apply.

Evaluation of Customs on imported goods prices, as evaluated and deemed acceptable to the investor's request, the amount specified in the permit evaluation of the input plus shipping and insurance costs, a foreign investor and the date of discharge is covered by law. If the difference between customs valuation and the price specified in the approved detailed list of the board, customs valuation criteria and registration of foreign investment in the Companies Registration Office and industrial property will be. 

Note 1 - Organization and the Ministry of Commerce within one month of notification of these regulations are required to provide specific examples of the kind of foreign capital goods orders were subject to this clause and the intended act. 
Note 2 - Islamic Republic of Iran Customs Administration is required to evaluate the price of second hand machinery and equipment related to foreign investments to the price of second hand will do. 
Note 3 - If that is the kind of foreign capital entering the country, incomplete, defective, unusable or may not coincide with Azharshdh in Approved by the Board, subject to the Board and the Board approved the import of NO of the capital account deficit will be incurred. 

2 - on capital items in paragraph "d" of Article (1) law (including patents, know-how, trade marks and names and professional services) Azanjam of the necessary studies, reports, contracts of technology and services to fulfill contractual obligations Approved at the Board provides and funds within the guidelines as approved by the Board of Finance and Economic Secretary will, by the Board as foreign investment and will be covered. 

Chapter VI - 
Regulatory capital and capital gains 

Article 22 - 
All requests resulting in the transfer of capital, profits and proceeds derived from capital gains is an issue of law, must be documented in the audit institution is a member of Iran's official auditors. Such transfers after deduction of all legal deductions to the extent that the institution has approved the audit mentioned, Mysrast. 

Article 23 - 
Transfer of profits and capital gains income from investments subject to section "b" of Article 3 of the Act to request an exchange or a foreign investor, through the issuance of authorized goods occurs. Capital investments and interest related to the paragraph "b" of Article 3 of the Act through the exchange of currency from the export of products or services and or the investee firm is allowed to export other goods carried. According to the Institute's audit committee about the status of capital, the amount of capital gains and capital gains owned by foreign investors, permit the withdrawal of funds in each case is issued. 

Note - for investments under paragraph "b" of Article 3 of the Act, if the export is not possible "to ensure the currency board for the transfer" is possible and necessary, for exchange will be financed through the banking system . 

Article 24 - 
If the investment license expressly refers to as "B" or "c" of Article 17 of the Act, permission is tantamount to an export license and the firm's capital can be deposited in an account with one of its foreign exchange from exports of domestic banks or deposited in foreign consumption and compactness of the investment license has been taken directly from the foreign investor has to pay. Use any surplus to be harvested currency, foreign exchange regulations aimed. Drhrsvrt tax funds to the investee firm is required to submit the certificate to export the idea of ​​writing Batla. 

Article 25 - 
Exchange earnings from exports, foreign investments in the cost set by the Board, including any provisions to limit the foreign exchange regulations, including export and shows commitment to giving back to the country foreign exchange earned from exports, according to state regulations, or what the future is now , is exempt. 

Article 26 - 
Restrictions imposed by law or if the hand that results in economic capital can not be export their products, as long as legal restrictions on the government's decision not to do or is currently exporting, the firms are allowed to market its products in domestic has sold and the supply of local currency costs contained in the investment license, the foreign exchange purchased from the banking system and have transferred or attempted to export goods shall be allowed. 

Article 27 - 
The Board approved the transfer of funds by foreign investors from the banking system to be purchased Vhvalh this purpose the Central Bank will exchange to the banking system. 

Article 28 - 
If a foreign investor to transfer funds within six months from the date of completion of administrative formalities related to the transfer does not rule out the inclusion of those funds are. The continued inclusion of the funds with the approval of the board is possible. 

Article 29 - 
Foreign investor interest in the transfer of all or part of amounts due from (13), (14) and (15) The law allows the board to increase its investment in the firm, and during or after the formalities for obtaining the investment license, the same way new investment. 

Article 30 - 
With the principle (138) of the Constitution of Islamic Republic of Iran accepted the obligations of the Note issue (2) of Article 17 of the Act, the Council may delegate a member of the Investment Council. The board is authorized to ban or stop the damage from the financial agreement relating to the obligation ceiling limits the obligations accepted by the Council on investments that were stipulated in the Investment License