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Iranian Sectors Poised to Soar

This handout image supplied by the IIPA (Iran International Photo Agency) shows a view of the reactor building at the Russian-built Bushehr nuclear power plant in Iran.
Getty Images
This handout image supplied by the IIPA (Iran International Photo Agency) shows a view of the reactor building at the Russian-built Bushehr nuclear power plant in Iran.

Now that there's a framework that could lead to an overarching nuclear deal with Iran, global investors that were lining up at the gates are getting ready to move in.

Inside of Iran, business leaders are waiting with open arms.

Iranian Sectors to Watch

The Tehran Stock Exchange is down 4.5 percent so far thisyear but the top executive at one of Iran's biggest investment firms says the market is about to take off. "Once a final deal is reached Iran will be open for business" says Ramin Rabii, CEO ofTurquoise Partners. "Hundreds of millions of dollars, maybe even billions will pour into Iran's economy."

Rabii believes the sector that will jump the fastest and the most will be Iran's financial sector. He said "banks were hit the hardest by sanctions. They will move up fast once sanctions are lifted and that will have a huge impact on the country." 15 percent of Turquoise's funds are invested in the sector now but Rabii plans to increase that number.

He also believes the Islamic Republic's petrochemical sector will be an immediate benefactor of evaporating sanctions saying "global insurers left this market, they will come back quickly. The sector will benefit from global financing and new technologies that the sanctions kept away."

Iran's President Hassan Rouhani
Umit Bektas | Reuters
Iran's President Hassan Rouhani

The optimism goes well beyond Turquoise. Other investment managers agree that Iran's energy and financial sectors will get a fast boost but other sectors will soar as well including Iran's well developed steel and iron ore businesses.

"We are ecstatic" -Sanam Mahoozi

A young woman who also works in Tehran's financial sector said on the prospect of a final nuclear deal and the lifting of sanctions "we are ecstatic." Sanam Mahoozi said by telephone "there has never been this much of a positive vibe in the country. This is history and we are very proud of our country and government."

Too Much Optimism?

Outside of Iran, not all experts on the issue are as optimistic. "It's too soon for any major economic relief in Iran" says Alireza Nader of the Rand Corporation think tank and an expert on Iran's powerful Revolutionary Guard.

He believes any economic improvement will be gradual but a psychological barrier has been toppled. "However, Iran has tremendous economic potential. If sanctions are lifted and if some of the structural issues with the economy are addressed such as over-reliance on oil and the unaccountability of the Revolutionary Guards then Iran may see tremendous growth. But it's too soon to know if that will be the case."

"Iran is in for a good ride" -Ramin Rabii, Turquoise Partners

Despite that note of caution Ramin Rabii of Turquoise says he's overjoyed. "I've been waiting for this day for almost ten years. Iran is in for a good ride."