A deal has finally been brokered with world powers that gives Iran the right to enrich uranium. Any other boundaries have been watered down in this recent Geneva agreement.
Supreme Leader Ali Khameini praised the team of negotiators from Iran and many believe the door is now open even wider for discussion of nuclear research and development in the Islamic Republic.
Iranian President Hassan Rohani was positive in his response to the Geneva interim agreement. All indications are that this achieves the recognition that Iran was looking for regarding the authority to develop a nuclear program for the purposes of uranium enrichment and other purposes that are peaceful in nature.
Other major restrictions originally discussed have been erased. These include such restrictions as a constructing of a water nuclear reactor and the closing of a facility near Qom. Many speculate that these restrictions were in place only for negotiating purposes and are now therefore useless. One thing not made clear in the Geneva agreement was how much money currently frozen in the Western banks would be released. Also not clear was the type of equipment that could be imported or the type of oil that could be exported. There is a possibility that the amount of money released could be higher than originally stated by Secretary of State John Kerry. It is possible it could go into tens of billions of dollars.
Government leaders in Iran have began discussion about the expected economic improvement as a result of this Geneva agreement. Iran is believed to have a foreign currency reserve in the neighborhood of $100 billion. However, the nation is also operating on a deficit that has exceeded $70 billion. Those who work for the Iranian government often are delayed in receiving regular pay and there is a high rate of unemployment.
The lifting of economic sanctions could allow for a new level of trust in the Iran investment world. A campaign is expected to begin soon to look for business opportunities and attract entrepreneurs. Russia, which already has commercial ties with Iran, has been invited to expand that relationship. Many around the world are questioning whether or not the agreement reached in Geneva is one that cannot be reversed. This question is not without merit. However, when Khamenei and other officials in the government of Iran realized that the misguided economic policies of past President Ahmedinejad were damaging their very future, drastic choices had to be made. Many believe that this decision will, contingent on the remaining in power of the current decisions, guide Iranian economics for years to come.
Since the Geneva agreement has been brokered, there has been some shock and realization of the effect this could have on other countries in that part of the globe. This would include rumors from Saudi Arabia concerning their own right to nuclear research and development.
According to some reports, the nuclear availability in Israel would have been enough cause for concern. Egypt has been trying unsuccessfully for many years to develop an infrastructure for generating electrical power. Some of the smaller states in the Gulf, including Qatar, United Arab Emirates, and Kuwait, have focused on a better relationship commercially with Iran. The main issues now facing Saudi Arabia are the diplomatic status for Iran and its improved relations to the United States, coupled with its own concern that it will soon no longer have a wide range of authority in the Middle East.
Editorial by Rick Hope