I Am Upbeat Everybody Will Come Back to Iran Previously known only as a lucrative region whose tourism attractions were ignored, Kish has topped the agenda concerning development of tourism sector in Iran. Kish is competing with its counterparts in other countries in terms of tourism attractions. In the past, endorsement of a national legislation for development of Free Trade Zones and attraction of foreign investment took months, but now the policy-making and decision-making apparatuses see it inevitable to take into account expansion of FTZs. The buildings of administrative-commercial center in Kish are examples of foreign investment. To get acquainted with the Swiss investors of Kish towers, we have conducted a meeting with Parivash Karimkhanzand who is the managing director of this company.

- What persuaded the Swiss to make investment in Kish? - This tower, formerly known as Sadaf Tower, was in the process of construction by Kish FTZ Organization until German company AIC intervened three years ago. I and my Swiss partners set up a branch for AIC in Kish. The Swiss partners intended to invest in Kish and I proposed them the tower project to complete it. They welcomed the suggestion as investment in Kish is exempt from taxes for 15 years and on the other hand, no visa is needed for this purpose. Thus, a good opportunity was provided for them. Thanks to support provided for the Swiss investors by the Kish FTZ Organization, the tower was sold to the Swiss after two years (August 2001). Adjacent to this tower, three more towers will be built. The current 15-story tower is estimated to cost 14 million dollars. It is composed of 2 ground floors and the underground floor for commercial purposes, 10 floors for administrative affairs and the remaining three top floors are specialized for residents. At the moment 2 residential floors have already been sold.

- It has been rumored among foreigners that investment in Iran is high-risk. How have Swiss investors become convinced to make such an investment? - An all-out support provided by the Kish FTZ Organization has guaranteed Swiss investment. The Swiss partners say: Everyone wonders how we have dared to invest in Iran. But, we never give a dam what they say, we love Iran. If you trust us, we would also trust you. To me, Iran is secure for investment. Foreign Investment Law has been approved in Iran since 1956, indicating that investment is secure in Iran. According to the Foreign Investment Law, the lands are not sold to the foreigners and the foreign investors should have an Iranian partner. Maybe I am very upbeat, but foreign and foreign-based Iranian investors are coming to Iran. A positive point with attraction of foreign investment in Iran is related to the rich culture and civilization of Iranians. The investment in Kish by the Swiss is a good point. Iran could no be compared with the Arab nations with regard to culture and resources. Tourists would never be tired of visiting Iran. Kish would be two steps ahead of other FTZs thanks to investments underway in this island. Kish has been a secure venue for tourists and also a good region for prospecting operations of oil companies. When the employees of oil companies come to Kish with their families, they want to enjoy facilities similar to those in Europe. So, we would construct international school, hospital and university in Kish. Attraction of tourists and foreign investment is interlined with the government policy-making. A major problem with the third world countries is that they do not how to use their resources. The Europeans are more precise than the third world countries in using their resources and therefore we should exchange views with them. An important point the authorities should take into account is that they should keep water, electricity, telephone, etc. costs from soaring. In foreign countries, everything is regular and the people know about the costs well. But in Iran, everything changes due to the inflation. For instance, when we sell the towers, we cannot announce a constant fee for water and electricity. If we want to invite foreign investors we have to make everything regular and precise. - Are the Swiss investors involved in other projects than the tower? - Yes, they are investors and they sell any project after being implemented to start a new project. They are intent on investing on a telecommunications project in Kish as they have good relations with Siemens and Ericsson. They also intend to set up an airline and a foreign bank in the island. Iran can attract foreign investment well. Foreign investors would abandon their fears if the government helps them.

Trade Center of Kish Free Trade Zone is to be constructed on a 52,000 square meter land in Kish Island. Total built-up area of the 15-story tower will measure 37,300 square meters

* 80 offices in 10 floors * 145 shops in 2 floors * 1 hyper market in basement * 16 residential units in 3 floors * 6 restaurants in ground floor * And penthouse

Kish Towers Company Tel: (+98 764) 4420200-3 Fax: (+98 764) 4420205 Mobile: (+98 914) 7691218 P.O. Box: 79415-1371 E-mail: kishtowers

tkckish.com Address: 96A Zand Building, Amir-kabir Sq., Kish Island - Iran

KISH FREE TRADE ZONE CENTER