IRAN IS PREPARED TO BUY UP THE TRANS-CAUCASUS
by Yuri Simonjan
Translated by A. Ignatkin

Source: Nezavisimaya Gazeta, June 21, 2007, p. 8
Agency WPS
What the Papers Say Part B (Russia)
June 21, 2007 Thursday

Tehran’s investments are political

Iran develops bilateral relations with Georgia and Armenia; Iran is
considering investing $1 billion in the Georgian economy and an equal
amount in Armenia. Russian investment in Georgia amounted to only $30
million in 2006. If Tehran goes ahead with this, it would become the
most influential player in the region.

The IRNA news agency (Iran) and Georgian media quote Georgian
Ambassador to Iran Levan Asatiani as saying that Iranian companies
are prepared to invest $1 billion in Georgian economy. "And the
Iranian market looks quite attractive. That’s a large country with
a population of 70 million," he said, and commented on apparent
progress in Georgian-Iranian relations. The diplomat mentioned
President Mikhail Saakashvili’s official visit to Iran in 2004,
meeting of the Georgian-Iranian government economic commission in
Tbilisi in 2005, and business forum in Tbilisi in November 2006
attended by representatives of 80 Iranian and Georgian companies.

Tehran’s plans with regard to Georgia upset the United States, which
hopes to keep Georgia in its own sphere of influence. For the time
being, Washington’s criticism is restricted to Armenia alone. US
Charge d’Affaires in Armenia Anthony Godfrey expressed Washington’s
concerns over the rapidly developing Armenian-Iranian contacts.

"Armenia’s relations with all countries are quite transparent. There
is nothing about them to cause worry," Armenian Foreign Minister
Vardan Oskanian retaliated.

Vaan Ovanissjan, deputy speaker of the Armenian parliament,
believes that Washington is sending a message to Yerevan to be more
discerning. "Armenia is a member of the Nuclear Nonproliferation
Treaty," he said. "Yerevan has never interfered in other countries’
conflicts or domestic affairs by selling weapons. Armenia is beyond
criticism from this standpoint… And if it is something else that
irks the United States, then it should recall that Armenia is a
sovereign state that determines its own foreign policy."

"The United States is trying to expand international support for
its actions with regard to Iran," said Armenian political scientist
Levon Zurabian. "It cannot help understanding that economic relations
with Tehran are very important for Armenia. Godfrey’s words are just
wishful thinking."

Yerevan’s relations with Iran are developing at a rate that makes the
United States uneasy. Prime Minister Serge Sarkisian met with Iranian
Ambassador Alireza Hakikian the other day to discuss the forthcoming
meeting of the Armenian-Iranian government commission. A free trade
regime agreement may be signed at the meeting; cooperation between
the two countries will be discussed.

"In Georgia Iran does have more room for maneuver than in Armenia,"
Georgian expert Giya Khukhashvili said. "However, Tehran will be kept
at a distance from strategic sectors of the Georgian economy because
of Tbilisi’s drift to the West. It follows that Iranian companies may
only buy real estate in Georgia or invest in travel industry, light
industry, and so on. The Georgian authorities had better remember
that Iranian investments are political and therefore should be treated
with care."

"Georgian relations with Iran may be viewed as a litmus paper from
the standpoint of Washington’s recent contacts with Tehran," Paata
Zakareishvili, Director of the Development and Cooperation Center
(Tbilisi), said. "Georgia will accept no investment from Iran without
Washington’s approval. If the investments are permitted, it will mean
that the United States eases off with regard to the Iranian regime…

Iran is clearly after the status of a serious regional player.

Moreover, it is trying to ameliorate the situation in connection with
itself acting through America’s closest allies."

"No, I don’t know anything about any investment offers from Iran,"
saod Oskanian’s spokesman Vladimir Karapetian. "No offers were made
through diplomatic channels."