Benefits of relieving sanctions against Iran may extend beyond that country and reach some of its neighbors, Dr Hassan Hakimian, Director of the London Middle East Institute at SOAS, University of London, told Armenia News – NEWS.am, speaking on the breakthrough agreement between Iran and six world powers, reached on July 14 in Vienna.

Although sanctions relief will not mean the end of Iran’s economic woes, there is little doubt that, in the short term at least, announcing a comprehensive nuclear agreement will come as a major psychological boost to trade and investment flows within Iran as well as externally, the expert said.

“Iran’s potential benefit from this agreement can be likened to a “peace dividend’ from cessation of a period of hostility and economic isolation. The removal of some of the toughest restrictions against Iran’s economy will also offer European and Asian businesses a major new market especially in areas such as consumer goods as well as infrastructure, auto industry, tourism and hospitality. This bodes well for some of Iran's neighboring countries too,” he added.

In line with the agreement, Iran is supposed to drastically reduce the stock of low-enriched uranium, as well as dismantle some key nuclear facilities, such as heavy water reactor in Arak and Fordow underground enrichment plant. In return, the EU and the U.S. will lift oil embargo and other trading limitations, as well as will allow Iran to access to Swift electronic banking system.