Iran Joins World Bank Investment Guarantee Agency

Iran Joins World Bank Investment Guarantee Agency

WASHINGTON, DC, December 17, 2003—The Islamic Republic of Iran today became the newest member of the Multilateral Investment Guarantee Agency (MIGA) with its subscription to agency's capital base. This brings the number of MIGA members to 164.
With the membership, foreign companies seeking to invest in Iran are now eligible to receive MIGA's guarantee coverage, which protects investments against the risks of transfer restriction, expropriation, breach of contract, and war and civil disturbance (including terrorism). Iranian investors going into other developing countries may also receive coverage. Membership also makes the country eligible to receive MIGA's technical assistance services to help it attract more foreign direct investment.

"MIGA's support for investment in Iran can help address two serious challenges faced by the country, the prevalence of unemployment and poverty," says MIGA's Executive Vice President, Motomichi Ikawa. "By guaranteeing projects going into and out of Iran, MIGA will be supporting the country's fledgling private sector and stimulating regional economic growth."

The agency has received a number of inquiries from investors interested in doing business in Iran, particularly in the infrastructure, services, and finance sectors.

"MIGA can bridge the gap between investors' concerns and a country's desire to attract good investment to help jumpstart the economy," says Ikawa. "We are looking forward to supporting private sector development in Iran and the region."

For information 
Washington, DC:
Angela Gentile,
agentile@worldbank.org, t. 202-473-3509