BMI View: The Iranian government is looking to attract greater direct investment by leveraging the growing interest of multinational pharmaceutical companies interested in exploring the high-growth potential of Iran's pharmaceutical market in the post-sanctions period. However, given underlying operating challenges within Iran's pharmaceutical market, the arrival of multinational drugmakers will be a gradual process, rather than an immediate boom.
Headline Expenditure Projections
■ Pharmaceuticals: IRR69.55trn (USD1.93bn) in 2015 to IRR79.85trn (USD2.00bn) in 2016; +14.8% in local currency terms and +3.3% in US dollar terms. Forecast upgraded from previous quarter.
■ Healthcare: IRR800.60trn (USD22.24bn) in 2015 to IRR898.48trn (USD22.46bn) in 2016; +12.2% in local currency terms and +1.0% in US dollar terms. Forecast downgraded from previous quarter.