Iran nuclear deal should boost economy, yet unknowns remain

The Conversation - April 8, 2015

Nader Habibi is the Henry J. Leir Professor of the Economics of the Middle East at the Crown Center, Brandeis University.

The framework nuclear agreement that was announced earlier this month by Iran and the so-called P5+1 calls for a substantial rollback in the country’s nuclear program in return for a lifting of sanctions.

While no specific time table was mentioned, the preliminary agreement calls for the suspension and then lifting of international sanctions once the International Atomic Energy Agency has verified Iran’s compliance with ongoing restrictions on its nuclear activities.

The removal of sanctions, in other words, will take place in stages and will serve as the main incentive for Iran to fulfill its obligations. As interpreted by the US, the sanctions will be suspended and P5+1 will be able to reintroduce them if it determines that Iran is in violation of the agreements. (The P5+1 is made up of permanent UN Security Council members US, UK, France, Russia and China plus Germany.) ... Read the Full Text