IRAN: Saudi Arabia Is Making A 'Serious Mistake

[MoshteAhani]

We should get rid of our oil industry, it is hampering our progress in many other fields.

 

[-SINAN-]

than please counter my argument in academic and civilized way?

We should get rid of our oil industry, it is hampering our progress in many other fields.

God....

 

[JUBA]

I filled my car for 60 bucks on monday, thx Saudi.

Damn that's expensive!
How much does it usually cost? Here in KSA i fill my truck's big tank for only 6-7 dollars.

 

[Chinese-Dragon]

considering how your country is behaving towards ours, mind to shut up.

What, did we sanction Iran?

No, in fact we are the biggest buyers of Iranian oil, even while Iran was being sanctioned. It's pure business.

If you want us to stop buying Iranian oil, you may get your wish. Since Saudi and the Gulf Arabs are the ones sitting on the largest currency reserves (by far) among all the oil producers, which means they are going to win this oil price war.

 

[Daneshmand]

I see this as being beneficial in the long run for Iran, as we will be forced to diversify the economy and move away from oil-dependent economy.
Yes, this will be very painful at first, but Iranians are good at adapting to harsh economic enviroment and looking for solutions. Afterall Iran has been absorbing Western imposed sanctions for more than 35 years, and we are still standing as one of the most stable countries in the ME (albeit with a bad economy which is way under its potential)
Low oil prices and not having much of a share left in the oil-exporting community, provides us with the right stimulus to change and diversify the economy, as it forces Iran to look for other sources for revenue.
Abundance of oil is a curse, because it makes you lazy and then ultimately it makes you totally dependent.
Like I said, its going to be a painful process and may wreck the economy further in the short term, but what does not kill you makes you stronger, as they say.

See this is why its so vital for Iran to develop their nuclear industry, along with other industries.

@Serpentine @haman10 @kollang @mohsen @Hussein @The SiLent crY @JEskandari @IRAN 1802 @Gilamard @Arminkh @Daneshmand @jack 86000 @MTN1917 @rahi2357 @SOHEIL @The Last of us etc.

Oil has been a sweet curse for Iran. It has helped to create an artificial higher standard of living which is not sustainable without oil. You are right about this situation having the potential to become an opportunity for Iran to move towards a diversified economy. But for that Iran would need to implement such policies. I leave it upto you to decide how much is being done in this regard (since currently I am not in Iran):

1) Liberalizing economy, with priority being industrial and agricultural production by small and medium sized companies rather than rent and imports by a few well connected. For instance who would get a bigger and faster loan: A) a besaz befrosh capitalizing on his rent of tarakom-foroshi, B) A young engineering graduate wanting to set up a production line for small light electric bikes.

2) R&D management and funding specially for universities and industrial units. For instance how much was the turn-over of Saipa or Iran-Khodro last year and how much subsidy they received from the government last year and how much they spent on R&D last year? Is Iran-Khodro in addition to its own internal R&D, funding research labs in Iran's universities for developing the needed technologies?

3) Oil money should never be injected into economy, nor it should be used for consumer goods imports. The only use for such money should be for international joint ventures in technology sectors or for buying and importing technology.

4) Trade and technology schools. There are too many BS humanity and other such subjects being taught in Iranian universities and too few courses for applied technology. For instance can a company set up to produce a certain electronic component (say micro-capacitors) get access to a pool of trained technicians in this trade? In many other countries of the world, such pools of applied technologies play the back bone of the economy. Once economy needs a certain skill, immediately the trade education responds and churns out new graduates in that trade within months.

5) Taxation and transparency. In a diversified economy, the government is not run from oil income but from taxation and the public has transparent access to economic data, information and policies so that corruption does not become systematic. Without these, a diversified economy can not run.

 

[IRAN 1802]

King abdullah is in hospital and his healthy is very critical. At this time that he is alive there are struggles and battles to gain power. After his death oil price will increase to 150-200 dollars due to civil war and struggles in Saudia.

In any case if Iran wants to promote its economy position from 17th to one the top ten, Iran must cut its dependence to oil and even gas. Alhamdulellah Iran has done many positive footsteps in the 5 recent years.
At this time 80% of economy of Iran is not dependent to petro incomes.

 

[xenon54 out]

Damn that's expensive!
How much it usually cost? Here in KSA i fill my truck's big tank with only 6-7 dollars.

Yeah lol compare it to Saudi , usually around 80-90 bucks, depends on current price and location, at the moment its like 1,54 in north and 1,39 Francs in south Switzerland.
The lowest at my location recently was around 1,48 but at crisis years it was around 1,85.

 

[MarkusS]

King abdullah is in hospital and his healthy is very critical. At this time that he is alive there are struggles and battles to gain power. After his death oil price will increase to 150-200 dollars due to civil war and struggles in Saudia.

In any case if Iran wants to promote its economy position from 17th to one the top ten, Iran must cut its dependence to oil and even gas. Alhamdulellah Iran has done many positive footsteps in the 5 recent years.
At this time 80% of economy of Iran is not dependent to petro incomes.

then you should finally become a trustworthy partner.

 

[IRAN 1802]

then you should finally become a trustworthy partner.

I hope Iran develop relation with every country in the world. I think the problem is Iranian nuclear program. West should accept Iranian nuclear.
In addition West should give a fuk to Israel.

 

[flameboard]

Iran could have stop all their oil production and I can bet oil price will go up.

I think its quite ridiculous to put the blame on Saudi. If oil price goes up becos you cut down your oil production then you are back to square one for profit.

No countries will try cut down on oil production at this moment and trying to ask one country to cut down oil production for the sake of others is a tall order and even unreasonable.

Countries do change the amount of oil they produce over the year, as demand varies. For example the price of oil falls during the winter season. Countries will reduce their production, as demand reduces. Saudi Arabia decided not to lower their production, and Saudi Arabia has decided to keep the production higher than the demand. At the moment Saudi Arabia is producing more than it usually does during this part of the year.

 

[MoshteAhani]

then you should finally become a trustworthy partner.

Trust comes from both sides.

What, did we sanction Iran?

No, in fact we are the biggest buyers of Iranian oil, even while Iran was being sanctioned. It's pure business.

If you want us to stop buying Iranian oil, you may get your wish. Since Saudi and the Gulf Arabs are the ones sitting on the largest currency reserves (by far) among all the oil producers, which means they are going to win this oil price war.

China and Iran are economic partners since the ancient times already.I hope China does not forget who its traditional economic friends are.

 

[MarkusS]

I hope Iran develop relation with every country in the world. I think the problem is Iranian nuclear program. West should accept Iranian nuclear.
In addition West should give a fuk to Israel.

1. nuclear iran is a threat to our security.
2. israel is important for our interests.

so i can also say:
Iran should give up its nuclear program and start to ignore israel. You want something but offer nothing in return. thats not how diolomacy works.

Trust comes from both sides.



China and Iran are economic partners since the ancient times already, the times were Arabs were hunting for lizards in their deserts or waiting for a Persian ship to pass by to give them some food or water. I hope China does not forget who its traditional economic friends are.

sure trust comes from both sides. But what do we gain?

 

[MoshteAhani]

1. nuclear iran is a threat to our security.
2. israel is important for our interests.

so i can also say:
Iran should give up its nuclear program and start to ignore israel. You want something but offer nothing in return. thats not how diolomacy works.



sure trust comes from both sides. But what do we gain?

Few things i should mention.

1.A nuclear armed Iran is no threat to Europe, we have not have any troubled relations with any Western state beyond repair. Issues with UK and few others (who are more minor problems) can be resolved without a doubt.

2.You gain alot... economically and politcally and militarily Iran is a safe harbour in a region that is literally on fire. Having such a huge and stable country with a economy full of potentials is not something you can ignore.

3.Once we reach a nuclear deal numbers 1 and 2 which i listed becomes more practical.

4.There are many states that have good/normal ties with the EU and US which do not have relationship with Israel or even recognize it. Maybe we should take that path instead the current... i do not know what will play out but changes will come soon, i hope they are positive changes.

 

[MarkusS]

Few things i should mention.

1.A nuclear armed Iran is no threat to Europe, we have not have any troubled relations with any Western state beyond repair. Issues with UK and few others (who are more minor problems) can be resolved without a doubt.

2.You gain alot... economically and politcally and militarily Iran is a safe harbour in a region that is literally on fire. Having such a huge and stable country with a economy full of potentials is not something you can ignore.

3.Once we reach a nuclear deal numbers 1 and 2 which i listed becomes more practical.

4.There are many states that have good/normal ties with the EU and US which do not have relationship with Israel or even recognize it. Maybe we should take that path instead the current... i do not know what will play out but changes will come soon, i hope they are positive changes.

I will start with Nr. 4. I think Israel should not be an issue between europe and iran on both directions. I know they are not your friends.,,but iran should also accept that we wont break with israel.

as for a nuclear iran. you have some crazy ones in your leadership who i would neverr trust a nuclear bomb. We need a guarantee that iran does not own nuclear weapons and control mechanisms for that

 

[-SINAN-]

4.There are many states that have good/normal ties with the EU and US which do not have relationship with Israel or even recognize it.

Yeah, but they don't ship weapons to Hizbullah. You are actually in a war against Israel. I wouldn't mind Israel vs Iran but US support for Israel. Make things worse for you.

1.A nuclear armed Iran is no threat to Europe, we have not have any troubled relations with any Western state beyond repair. Issues with UK and few others (who are more minor problems) can be resolved without a doubt.

A nuclear armed Iran is a very serious security threat for Israel. If it is a threat for Israel, It is a threat for US. EU plays the tune for US....