Russia Takes Lead as Top Foreign Investor in Iran's Economy

Moscow has become the largest foreign investor in Iran for 2024, with an expected investment influx of $8 billion directed mainly toward gas infrastructure. The Iranian Ambassador to Russia, Kazem Jalali, confirmed this strategic economic partnership, according to a report by Mehr News Agency, affiliated with TV BRICS.

A significant portion, $5 billion, of this investment has already been secured through bilateral agreements, with another $3 billion linked to pending finalizations. This surge in investment showcases a marked increase from the $2.76 billion reported in the 2022-2023 fiscal year, underpinning Russia's dominance in Iran's foreign direct investment landscape, as highlighted by TV BRICS.

The backbone of this relationship is strengthened by energy cooperation. Earlier this year, both nations mapped out a major gas pipeline route, initially estimated to supply 2 billion cubic meters, with potential to expand to 55 bcm annually. As of April 2025, Iran completed 90% of the necessary infrastructure for Russian gas transit. Discussions are ongoing for a regional energy hub, including swap agreements and a potential electronic gas trading platform in southern Iran, emphasizing their strategic alignment to fortify regional influence and lessen dependency on Western systems.

(With inputs from agencies.)