Situated in the Middle East, Iran is a mostly arid mountainous country perched along the Persian Gulf and the Gulf of Oman. Along with its many mountain ranges and peaks, the highest of which is the dormant volcano Mount Damavand, Iran contains a vast central plateau.

Expats moving to Iran will find a country born out of a rich and tumultuous history, and that became a unique Islamic republic in 1979 following a popular revolution that brought religious clerics to power.

Living in Iran as an expat

Most expats in Iran come from other Middle Eastern states, and many can be found working as senior management professionals in the abundant state-owned oil and natural gas sectors. Expats tend to be located in Iran’s capital, Tehran, which is also the political, cultural, industrial and commercial centre of the country.

While Persian, known locally as Farsi, is the official language of Iran, English is commonly spoken in business circles. Expats should always bear in mind that Iran is an Islamic country that strictly enforces its religious traditions, and this may lead to some culture shock. Women should dress modestly, both as a sign of respect for the local culture and to avoid unwanted attention.

Expats moving to Iran will have access to exciting activities to keep them entertained during their assignments. Popular activities are hiking and skiing in the Alborz Mountains and relaxing on the Caspian coast. Expats can also get stuck into Iran’s rich history and culture.

Cost of living in Iran

The cost of living in Iran is rather low. Accommodation will likely be the most significant expense facing expats. Those with children will also need to factor in the expense of international school fees, and health insurance plans can also be costly depending on the policy chosen. That said, transport, groceries and other everyday expenses tend to be cheap in Iran, therefore bringing down the general cost of living.

Expat families and children in Iran

There are several international schools in Iran to serve expat populations. There are also some good private hospitals in Tehran. The general standard of healthcare in Iran may not meet the standards that most expats are accustomed to, however, so it's paramount that those moving to Iran have a comprehensive health insurance package.

Safety in Iran

Iran is, on the whole, safer than most expats assume. That said, safety and security are concerns for expats travelling to and living in Iran. Due to strained relations between Iran and several other countries, Iran can feel politically volatile for many expats. Expats in Iran are advised to maintain a low profile and to stay well away from any mass gatherings or political protests.

Climate in Iran

The climate in Iran is arid and semi-arid, with hot and dry conditions. The weather in Iran differs throughout the country. The north of the country is subtropical, while the rest of the country generally experiences long hot summers and short cool winters.

Expats should note that Iran is prone to earthquakes, and destructive dust storms have been known to occur. New arrivals should prepare for their move accordingly and ensure they pay close attention to announcements from authorities.

Ultimately, while expats might be enticed to move to Iran for career progression, it's not a decision to be taken lightly. Expats living in Iran are likely to feel more restricted than they would in their home countries. Expats considering Iran should be aware that life there involves dealing with significant cultural, social, legal, and geopolitical differences from most Western home countries. It may be rewarding for some, but it’s not a decision to be taken lightly.

Fast facts

Population: Around 90 million

Capital city: Tehran

Neighbouring countries: Afghanistan, Armenia, Azerbaijan, Iraq, Pakistan, Turkey and Turkmenistan.

Geography: Located in the Middle East, Iran lies to the south of the Caspian Sea and north of the Persian Gulf and the Gulf of Oman. The country's mountains enclose several broad basins, or plateaus, on which major agricultural and urban settlements are located.

Political system: A hybrid system guided by Islamic ideologies featuring an elected president and parliament with an assembly of experts who appoint a supreme leader.

Major religion: Islam

Main languages: Persian (Farsi) is the official language of Iran, but English is widely spoken in business circles.

Money: Iranian Rial (IRR). In everyday transactions, Iranians universally quote prices in Tomans (1 Toman = 10 Rials), which can cause confusion for new arrivals.

Tipping: Tips are not expected, but a small tip is always appreciated, as wages in the service industries in Iran are low.

Time: GMT+3:30

Electricity: 230 volts, 50 Hz. Plug types C and F are used. Plug type C has two round pins, while plug type F has two round pins with two earth clips on the side.

Internet domain: .ir

International dialling code: +98

Emergency numbers: Ambulance 115, fire brigade 125, police 110  

Transport and driving: Traffic drives on the right-hand side of the road. Public transport in Iran comprises buses, a metro, trains and taxis. Domestic flights are also widely accessible and affordable.

Most expats live in the capital city of Tehran, where accommodation is plentiful. In most cases, employers arrange accommodation for their expat employees prior to their arrival in Iran. Housing prices in Iran are rising despite the availability of properties, especially in Tehran.

It is possible for foreigners to own property if they have legal residence in Iran, but the process can be difficult. In most instances, expats prefer to rent rather than buy property in Iran.  

Types of housing in Iran

The standard of expat housing in Iran is excellent. Especially in Tehran, more and more upmarket homes are being built. Most expats in Iran live in newly built residential complexes. These complexes come with a range of additional facilities such as swimming pools, saunas and health clubs on site.

Furnished vs unfurnished

Expats can choose between furnished or unfurnished accommodation, but furnished housing tends to be for shorter stays. It is advisable that expats make a detailed list of all inclusions and photograph the contents for proof of the condition when moving into a furnished property. Furnished housing typically includes everything from curtains and kitchen fittings to cutlery and decorative pieces. 

Unfurnished property is a fantastic option for expats who would like to add a personal touch to their new home. It usually comprises basic furniture pieces such as a bed, kitchen fittings and appliances. While it is possible to ship furniture to Iran, buying furniture in the country may be the most hassle-free option as there are strict regulations on shipping goods into the country. Iran is known for beautiful Persian furniture, so expats will be spoilt for choice. 

Short-term rentals

Many expats who do not have their accommodation taken care of by their employer choose to stay in temporary accommodation while they survey the different areas and suburbs of Tehran. While short-term rentals are on the pricier end of the market, they are usually full-inclusive and more affordable than hotels. 

Renting accommodation in Iran

It is not difficult for expats to find accommodation to rent in Iran, especially if moving to Tehran. Expats can apply for accommodation either by responding to a property listing online or through a real estate agency if an expat's company does not arrange accommodation themselves. Expats should be aware that unmarried couples are legally forbidden from living together in Iran, so it is best to respect local customs and laws. 

Finding a property

For those whose company does not arrange accommodation, property listings are available online. Exploring these listings will also help expats understand the differences between neighbourhoods, property types available and rental prices.

Apart from searching online, there is a good range of reputable rental agencies operating in Iran. Most rental agencies will provide services in English for expats. Some even offer their services in other languages, such as French. Expats should ask their company for recommendations on trustworthy real estate agents. Embassies should also be able to provide some assistance in this area.

Leases

Rental contracts in Iran vary quite dramatically. It is important that expats fully understand the terms of the lease they are signing. Most rental contracts will be set for a period of one year. That said, because of the availability of property in Iran, expats will likely be able to negotiate shorter leases if necessary. Expats should ensure the lease agreement clearly states the monthly rental price, the amount for the security deposit and who will be responsible for the utilities. Expats are also advised to thoroughly check what the contract says regarding rent increases, as landlords in Iran have been known to raise rental prices unscrupulously. 

References and background checks

Most landlords renting out private housing in Iran prefer to lease to corporations to guarantee themselves a consistent income. As such, expats' employers can act as a guarantor for them when renting accommodation in Iran. 

Deposits

The Iranian rental market traditionally features two models of deposit: a straight monthly rent with a deposit, and the ‘rahn’ system, in which the tenant pays a large lump sum (historically around one-third of the property’s value) as a deposit in lieu of monthly rent, which is returned in full at the end of the tenancy.

Security deposits in Iran are quite hefty and can range anywhere from five to 10 months' worth of rent. The deposit is usually used to secure the property and compensate for any potential damage. In the case that the property is left in a suitable condition, the deposit is returned at the end of the lease.

Termination of the lease

Tenants may not terminate a lease agreement before its expiration in Iran, as it is a legally binding document. Prospective renters can negotiate with their landlord to include a clause that allows them to terminate the lease by providing at least a month's notice. Expats should expect to receive their security deposit back within a week to a month after moving out, provided there is no damage to the property beyond normal wear and tear.

Utilities in Iran

Frequently, electricity and water are included in the rent for furnished accommodation, but this also means that it is more expensive than unfurnished accommodation. Utilities are typically not included for unfurnished property and will be reserved for the tenant's account.

Expats renting accommodation in Iran will have to set up their utilities, such as gas, electricity and water, and this is usually done through their landlord. They will be able to make payments at ATMs or using an app. 

Gas and electricity

Electricity use in Iran is subsidised by the government, so expats' monthly bills will be fairly reasonable. Although most households in Iran use gas for heating their homes and water, recurring gas shortages in the winter months have prompted some locals to find other means.

Water

Iran is a water-insecure country, and water scarcity is a commonality throughout the country. While tap water in the country is largely safe to drink, most expats tend to stick to bottled water. Similarly to electricity, water will be connected through the landlord and can also be paid at an ATM or using a mobile app. Expats moving to Iran should be prepared to deal with the country's dwindling water resources and use them sparingly. 

Waste and recycling

Iran is still in the process of developing modern waste management practices, so most of the country's collected waste is not segregated and is dumped in landfills. Some major cities, including Isfahan and Tehran, have developed recycling infrastructure to encourage residents to separate recyclable materials.

For more specific information, expats should contact their local municipality, as they are usually in charge of waste collection and management in their respective cities and towns. 

Expats moving to Iran can expect to experience certain elements of culture shock. Religion plays an important role in everyday life in Iran, and expats will need to be sensitive to these cultural norms and adjust their lifestyle accordingly.

Those who take the time to learn about the local culture and engage with Iranians in a meaningful way will find their experience to be more rewarding.

Language barrier in Iran

Persian, or Farsi, is the official language of Iran. When in business and diplomatic circles, most people speak English well, but it is wise for expats doing business in Iran to arrange an interpreter.

Expats who learn basic phrases in the local language will find that their efforts will be appreciated and that they are more likely to be welcomed into Iranian society.

Religion in Iran

Islam is practised by almost all of the Iranian population, and it permeates all aspects of political, economic, social, and legal life in Iran. This is something expats will have to adapt to in their daily lives.

Expats in Iran will soon become familiar with the sound of the Islamic call to prayer – Muslims are expected to pray five times a day: at dawn, noon, afternoon, sunset and evening. In Iran, most businesses close on Friday, which is a holy day for Muslims. Many businesses and government offices close or reduce hours on Thursday as well, so expats will often experience a Thursday-Friday weekend.

During the holy month of Ramadan, Muslims fast from dawn to dusk, and many businesses operate on a reduced schedule. Expats aren’t expected to fast, but they must not eat, drink, smoke or chew gum in public.

Family in Iran

Family is central to social structures in Iran. The concept of family is more private in Iranian culture, and locals take special care to protect their female family members from outside influences.

Iranians take their family responsibilities very seriously. Most only have one or two children, but extended families remain large. It’s common for elderly relatives to be taken care of by the wider family circle at home.

Nepotism is quite apparent in business circles in Iran. That said, it is regarded positively in the sense that employers can be sure that they are hiring someone trustworthy.

Privacy in Iran

Iranians tend to see themselves as having two distinct identities, zaher (public) and batin (private). When they are in public, they conform to accepted modes of behaviour and may refrain from showing their personality. That said, among family and close friends, they will be more open and are more likely to share personal information, offer advice and provide support in general.  

Manners in Iran

Expats in Iran will soon get accustomed to the concept of taarof. This is a system of politeness that includes both verbal and non-verbal modes of communication. Iranians are reluctant to accept compliments, as humility is a highly valued attribute.

In adherence to taarof, expats should at least show some reluctance to accept gifts or invitations until the insistence becomes greater.

Dress in Iran 

The Iranian attitude to dress code is more casual than one might expect, but there are specific rules that need to be followed. Most important is the headscarf (known in Farsi as a roosari) for women, which should be worn at all times and must cover the hair, and ideally, the neck. A little bit of hair showing isn’t a problem, and many local women wear their roosaris perched far back. When visiting a mosque or shrine, a chador (a full-length covering) is usually required; these can typically be borrowed at the entrance.

Local women tend to wear loose, modest clothing, and expats should follow suit. Bare forearms are fine, but shoulders should be covered.

The cost of living in Iran is relatively low, and if you’re considering moving to Iran, you’ll find that you can live comfortably. Even though Western comforts may cost you a little more, expat packages in professional sectors are often structured to offset the added complexity of life in a sanctioned environment.

Your biggest expense will likely be accommodation, particularly in Tehran. If you have children, international school fees will also be a significant cost to factor in. Public transport is affordable, and many everyday expenses are also budget-friendly.

Cost of accommodation in Iran

The cost of accommodation in Iran is low compared to countries like the USA. But housing prices, especially in Tehran, have reached crisis levels due to limited supply, and accommodation costs now consume over half of household income in the capital. Iran ranks among the top 10 globally for unaffordable housing. Secure housing arrangements well in advance.

Whenever possible, try to negotiate an accommodation allowance with your employer. If that’s not an option, ask if your company has ties with landlords or agents to help you find affordable housing. Bear in mind that you’ll typically need to budget for utilities like electricity, water, gas, and internet, which are not usually included in the rent. Electricity costs have increased substantially in recent years.

Accommodation in Iran

Cost of transport in Iran

Getting around Iran is easy on the wallet, especially if you use public transport. The metro and buses are inexpensive and reliable in major cities like Tehran. If you prefer a bit more convenience, taxis and ride-sharing apps are also widely available, although they can be a bit pricier.

Buying or renting a car can be expensive due to variable import policies, and recent changes to these policies have significantly increased costs for economy vehicles while actually reducing tariffs on luxury cars. However, fuel and maintenance costs are low, so car ownership can work well for longer stays.

Public Transport in Iran

Cost of groceries in Iran

Your grocery costs in Iran will largely depend on personal preferences. Local supermarkets offer everyday groceries, and the quality of fresh produce is quite good, although costs have increased substantially. Cooking at home has become even more important for managing costs, as food inflation has made dining out relatively more expensive. For expats, local markets are often the best bet for fresh fruits and vegetables, while speciality shops stock imported goods at a premium, especially given the impact of international sanctions on availability.

Cost of eating out and entertainment in Iran

Although prices vary between establishments, eating out in Iran can be affordable. Dining regularly at gourmet or international restaurants will quickly add up, but if you stick to local eateries, you’ll find much better value for your money. Meals at smaller, local spots can be a bargain compared to higher-end dining options.

Entertainment costs can creep up. Entrance fees to museums and historical sites are reasonable, but if you visit many, it can add up. However, there are plenty of free or low-cost ways to enjoy your time in Iran. You can visit cultural sites or go hiking in the Darband and Darakeh Recreational Areas without spending a penny.

Cost of education in Iran

If you’re relocating to Iran with your family, one of your main concerns will be the cost of schooling. Most expats send their children to international schools, which are known for their excellent teaching standards and modern facilities. However, these schools have high fees, and the cost increases with each grade level.

School fees don’t typically cover everything. You’ll likely need to budget for extras such as uniforms, textbooks, trips, and other school expenses. Fortunately, many companies offer allowances for children’s education as part of their relocation packages. If this isn’t included in your offer, it’s worth mentioning during salary negotiations.

Schooling in Iran

Cost of healthcare in Iran

The standard of public healthcare in Iran is generally good, with highly qualified doctors, although the system has significant staffing challenges, particularly outside major cities, as a result of emigration among medical professionals. Most expats prefer private hospitals because of shorter waiting times and better facilities.

You’ll need thorough international health insurance to cover private healthcare costs, which can be quite high. Your employer will often arrange this for you, so it’s worth checking your contract details.

Healthcare in Iran

Cost of living in Iran chart

Due to Iran’s high inflation rate, specific prices in rial terms change frequently. The figures below are provided as a general reference only and should be verified locally. Prices are listed in Iranian rial (IRR) and may vary depending on product and service provider. The list below shows average prices for Tehran in late 2025.

A major challenge for expats moving to Iran with children will be finding a suitable school. Not least because choosing the appropriate school will have a significant impact on the child’s transition to expat life in Iran.

Education is highly valued in Iranian society and, consequently, the literacy rate throughout the country is high. That said, children do feel pressure to perform well academically. Schools in Iran are generally separated by gender, and boys and girls go to different schools.

Mainstream schooling in Iran begins at Kindergarten and ends in Grade 12, with primary and lower secondary school being compulsory. Although upper secondary school is not mandatory, students who wish to enter higher education need a high school diploma and must pass the Konkur, the national university admission exam.

Public schools in Iran

Public education in Iran is highly centralised and monitored by the Ministry of Education. The basic education phase lasts from Grade 1 to Grade 9, and is known as dabestan (primary school from Grades 1 to 6) and dowre-ye rahnama’i (lower secondary from Grades 7 to 9). During this time, schooling is free of charge. Teaching is entirely in Persian, although English is taught as a subject from Grade 7.

Upper secondary school (dabirestan) is a further three years of non-compulsory study. At this level, children can choose between an academic, technical or vocational stream.

Private schools in Iran

A number of small private schools operate in Iran. These schools charge high fees but offer a better standard of teaching. That said, they still follow the national curriculum as determined by the Iranian Ministry of Education. Typically, the language of instruction is also Persian, but English and French are also taught in most private schools.

International schools in Iran

Many expats opt to send their children to international schools in Iran, most of which are found in Tehran. While there are a handful of local children who attend these schools, the student body overwhelmingly consists of international expat students.

International schools in Iran follow a variety of curricula. There are schools that follow models from France, Germany, Japan and other countries, as well as a Cambridge-affiliated option. There are also a few schools that offer the International Baccalaureate (IB) curriculum. The language of instruction will depend on the curriculum followed. The major advantage of international schools for expat children is that these schools provide similar standards of schooling to those found at home, which makes for an easier transition.

Admission procedures vary between schools, but space is often limited. It is therefore always best to apply as far in advance as possible. While fees can be costly, the standards of teaching are generally excellent, with small class sizes and first-rate facilities.

Special-needs education in Iran 

Despite Iran providing free education to special-needs students until the end of secondary school, these students frequently struggle in school or don't attend at all. There are more than 1,500 special schools located throughout Iran that offer education to children with special needs.

The Iranian government has stated that it aims to promote more inclusive education, including improving accessibility and expanding teacher training for children with different needs, but independent observers have noted that the actual implementation is limited. A lack of training for teachers to deal with the needs of these children, and physical inaccessibility, means many disabled children don't attend school.

Tutors in Iran

Private home tutoring is definitely an option for children in Iran. There are many companies that represent private tutors, which can be found online. Tutors offer extra lessons for anything from English and Farsi to music, or for those preparing for big entrance exams.

Parents won't struggle to find a suitable tutor for their child, but they should pay attention to the reviews on the tutoring website to avoid scams.

Working in Iran will come with a variety of opportunities and challenges. Iran is home to one of the largest economies in the Middle East and North Africa regions.

International sanctions imposed against Iran as a result of its nuclear programme have taken a toll on the Iranian economy. With sanctions severely curtailing Iran's ability to export oil, the country’s most lucrative industry has faced significant headwinds.

The agriculture and manufacturing sectors have grown. 

Job market in Iran

Economic activity in Iran is fairly diverse. The country’s economy is characterised by a large hydrocarbon sector, small-scale agriculture and service sectors and a significant state presence in the manufacturing and financial sectors.

Oil and natural gas are its most vital natural resources. Iran ranks second in the world in terms of natural gas reserves and is one of the world’s largest oil producers, despite the fall of the industry. Before the introduction of sanctions against Iran, oil accounted for around 80 percent of the country’s export revenues. Many expats moving to Iran do so to take up lucrative employment packages in the oil and gas industries.

Beyond the oil and gas sector, other important industries in Iran include textiles, sugar refining, food processing, and the production of cement, building materials, iron, steel and machinery. With the growth of these industries, expats may find profitable work opportunities in Iran outside of oil production.

As Iran is also one of the Middle Eastern countries that accepts English teachers with ESL, TEFL, and TESOL certifications, this may also be an option for expats wishing to work in the country. 

Finding a job in Iran

Most expats who relocate to Iran for work do so with a contract already in place. Reputable companies operating in Iran tend to headhunt their expat employees and entice them to move to Iran with the promise of a lucrative employment offer. Often, people working for a company in their home country or elsewhere in the Middle East are transferred to Iran to work within the same company.

Expats intent on working in Iran will need to ensure they have a valid work permit. In most cases, this is arranged through the expat’s employer, which acts as their sponsor in Iran. The process should be started at least two months before an expat moves to Iran to accommodate any unexpected delays.

Expats without an employer to assist them should consider using the services of a recognised visa company. The Iranian authorities may request interviews with expats before a visa or work permit is granted.

Work culture in Iran

Those aiming to work or do business in Iran will need to try to gain some objective understanding of the people, culture, etiquette and approach to business. It’s only by operating with a degree of cultural sensitivity that foreigners will be able to enhance their work life in Iran.

While Farsi, also known as Persian, is the official language of Iran, English is spoken in most business circles and higher levels of government. That said, it's still advisable to arrange an interpreter.

Success in Iran's job market is often defined by who you know rather than what you know. As business in Iran is personal, with many family-owned businesses, taking the time to get to know one’s colleagues and associates is vital to getting ahead in business.

Be respectful by keeping things formal initially, be patient, and don't be afraid to ask colleagues for favours. Expats may be frustrated by the slow pace of business in Iran, but making an effort to understand the work culture will assist any expat in adjusting to life in Iran. 

Expats living in Iran will have to contend with an arid and semi-arid climate. While the Caspian north is a subtropical region, the rest of the country has long hot summers and short cool winters. 

Iran is typically hot and dry, but it also has sub-freezing temperatures and heavy snowfall during winters, especially in the northwest. The Caspian Coast experiences year-round rainfall, heaviest in autumn and winter.

Spring in Iran coincides with Nowruz, the Persian New Year, and lasts from March to May. This time of year is cool, with temperatures rapidly rising towards summer. Spring is a relatively short season and expats can expect fluctuating weather patterns with some rainfall too.

Summer in Iran is the longest season and lasts from late May to September. It is hot and dry except on the Caspian Coast where rainfall starts as early as mid-summer and lasts through to winter’s end. Summer temperatures in most of the country typically range from the mid-to-high 80s°F (low-to-mid 30s°C), but can exceed 104°F (40°C) in the central plateau, eastern desert regions, and Persian Gulf coast.

Autumn in Iran is short, lasting only from October to November. Temperatures begin to drop and rainfall arrives in most parts of the country by November.

Winters in Iran are cool, especially in the northwest where the temperature drops below freezing, and it snows, often heavily. From December until mid-March, the weather will remain cool and tends to stay below 50°F (10°C), while occasionally dropping below 32°F (0°C). This is also the wettest time of year.

A major concern for expats in Iran during summer is the combination of humidity and heat. Heat exhaustion is a threat to unprepared or sickly residents and can be fatal. In addition, sudden violent storms, usually during the rainy season, can cause property damage and injury, and dust storms can result in fatalities. There are also frequent earthquakes in Iran, which can occur at any time of year. These are frequently damaging and lethal, especially when occurring close to Tehran.

Two final environmental considerations for expats in Iran to be aware of are pollution and water security. The level of pollution in cities such as Tehran will adversely affect those with sensitive respiratory systems. Water availability is also a pressing current and future problem. To mitigate these challenges, it's best to prepare as much as possible before making the move to Iran.

Iran’s tumultuous political history has meant that, despite the country’s wealth of resources, it has been relatively isolated from the global economy.

International business partnerships with Iran have been tentative at best and are generally limited to the energy sector. Unfortunately, negative images and stereotypes of Iranian society have clouded the great warmth and hospitality of the Iranian people.

The country's business infrastructure and processes may not be on par with those of the Western world, but the Iranian economy offers plenty of potential for discerning expat entrepreneurs.

Those wishing to do business in Iran must endeavour to understand the people, culture, etiquette and their approach to business. It’s only by operating with a degree of cultural sensitivity that international businesspeople will be able to enhance their business experiences in Iran.

Fast facts

Business hours

Saturday to Wednesday for government offices and banks, typically 8am to 4pm. Many private businesses operate Saturday to Thursday, and Thursday is often a half-day. Friday is the official day of rest.

Business language

Persian (Farsi) is the official language of Iran. English is spoken in most business circles and higher levels of government, but it's still advisable to arrange an interpreter.

Dress

Business dress should be smart and conservative. Suits are standard, but wearing a tie is not common. Women should dress conservatively. They should be particularly careful about covering up their arms, legs and hair in public.

Gifts

Gifts are not necessary for business proceedings. If invited to a colleague's home, flowers or chocolates are a great option. Do not give gifts that contain alcohol or pork. In Iran, gifts are typically not opened in front of the giver.

Gender equality

Women are significantly underrepresented in the Iranian workforce. They account for a small fraction of employed people despite comprising over 60 percent of university graduates, a structural disparity which is rooted in legal, cultural, social, and economic barriers. Women rarely occupy senior positions.

Business culture in Iran

Personal relationships and networking

Success in Iranian business circles is often defined by who you know rather than what you know. Taking the time to get to know one’s colleagues and business associates is vital to getting ahead in business.

Business in Iran is personal, and many companies are family owned. Having a solid network of friends in Iran is important, and one shouldn’t be afraid to ask for favours. That said, expats should also be prepared to go the extra mile for colleagues in the future. Reciprocal support is an integral part of doing business in Iran.

Meeting and greeting

Business associates typically greet one another with a formal handshake. Men must wait for a woman to extend her hand before making any gesture. If she doesn’t extend her hand, a simple nod of the head and a smile will suffice.

It is best to keep things formal when doing business in Iran. Once a relationship has been established and counterparts begin to address expats using their first name, it is acceptable to do likewise. Men are addressed with the title ‘agha’ followed by their surname. Women will be addressed using the title ‘khanoom’.

In Iran, the most common greeting is ‘salaam’ when meeting someone. Upon leaving a meeting, Iranians will generally say ‘khoda hafez’, which translates as ‘may God preserve you’.

Business negotiations

Getting to know Iranian colleagues on a personal level is critical. Initial business meetings will focus solely on becoming familiar with one another rather than discussing business matters. Formal proceedings only begin once relations have been established.

Business communication in Iran is informed by taarof, a system of ritualised politeness that determines how offers and counter-offers are made, as well as how direct communication can be. Haggling is a common element of Iranian business culture, so expect long negotiations to take place. Decision-making can be slow, and it is likely that expats will have to meet with several people before a final decision is made. Iranians will gather opinions from their associates before they trust new business partners.

Implementing decisions can be just as slow in Iran. It often requires manoeuvring through the slow-moving Iranian bureaucracy. Applying pressure in a non-confrontational manner may speed things up. The best method is often to ask a favour from an influential colleague wherever possible.

Business etiquette

For new arrivals, business procedures in Iran may seem erratic. Those doing business in Iran should endeavour to make appointments four to six weeks in advance. They should also confirm appointments by telephone and in writing. Before arriving at a meeting, it is a good idea to call the day before to ensure that it is still going ahead.

Punctuality is rare in Iran, but expats should still arrive on time to create a good impression.

Doing business with government officials will test one’s patience, and expats should prepare to be kept waiting. Administration and bureaucracy in Iran are sometimes chaotic, and this will often cause delays. Always be courteous and avoid showing outward signs of frustration when kept waiting.

At the beginning of a business meeting, small talk is exchanged. Asking after a colleague’s health and family is expected. It’s best to wait for the Iranian business associate to begin talking about business.

Setting up a business in Iran

There are numerous stages and bureaucratic hurdles that expats contend with when setting up a business in Iran. These include obtaining criminal record clearances, registering for VAT, officially registering the company’s name, paying stamp duty and enrolling employees in the social security programme.

Expats should note that they should anticipate long waits for most of the necessary documentation. They should seek advice from Iranian business associates and fellow expats who have previously been through the process.

Healthcare in Iran can be split into three sectors: the public governmental system, the private sector, and NGOs. Despite years of Western-imposed sanctions, Iran’s medical care is fairly modern, but as a result of Iran’s growing population, there is a lot of pressure on the public healthcare system. The quality of hospitals varies according to location, but in the bigger cities like Tehran, expats will find hospitals that meet international standards with well-trained medical staff.

Private hospitals are known to offer better facilities and speedier service than their public counterparts. English-speaking staff may be available at private hospitals and larger hospitals in major cities, although this should not be assumed, particularly at public facilities.

Public healthcare in Iran

In line with the national constitution, Iranians are entitled to basic healthcare. Most also receive subsidised prescription drugs and vaccinations. This healthcare does not extend to expats, but Iran's extensive network of public clinics and hospitals is considerably cheaper than in Western countries.

Most public hospital facilities in Iran are operated by the Ministry of Health and Medical Education. Although waiting times are often long, public hospitals provide an acceptable standard of service. 

Private healthcare in Iran

Wealthier Iranians opt to use private clinics and hospitals, which offer a slightly higher standard of care and better facilities. That said, the cost of treatment at such facilities can be quite high.

Despite the cost, private healthcare in Iran is still fairly cheap in comparison to many neighbouring countries. 

Health insurance in Iran

There are few, if any, reciprocal medical arrangements between Iran and other countries. Expats will therefore need private medical insurance, whether they plan to use public or private healthcare services. Expat's employers will typically cover this expense in Iran. 

Most comprehensive private health insurance policies in Iran will typically cover services such as hospitalisation, dental treatment, prescription drugs, diagnostic testing and emergency medical care, among other services. Owing to the sanctions against Iran, international private health insurance providers may not be able to pay doctors directly, so expats may have to foot the bill and claim it back from their insurance providers. It is advisable for expats to thoroughly understand their private medical insurance terms before seeking healthcare. 

Health hazards in Iran

Malaria can be a risk in rural areas of southeastern Iran, particularly near the borders with Pakistan and Afghanistan. Expats in these regions should take the necessary precautions, such as keeping well covered and using an effective mosquito repellent. Cholera outbreaks also occur during the summer months. It’s therefore best to drink bottled water at all times.

The most common problem experienced by new arrivals is heat stroke and sunburn. Be careful about spending too much time outdoors. Always take precautionary measures such as wearing hats and sunblock. It’s also wise to keep well hydrated, especially during summer. 

Pharmacies in Iran

Iran has a well-developed pharmaceutical industry and produces the vast majority of medicines consumed domestically. Pharmacies can easily be found in all major towns and cities, and they stock a wide variety of medications. They can also order medication that isn't readily available. 

Expats will need to pay for medication and then claim it back through their health insurance. Medication in Iran is generally affordable. If expats need to bring drugs and pharmaceuticals into the country, there are strict regulations to be followed. Expats should therefore ensure that they carry all the necessary paperwork when travelling with medication.

Emergency services in Iran

Emergency services in Iran are improving, but remain limited, especially outside the main cities. The emergency medical system in Iran has a variety of ambulance vehicles, including vans and helicopters, but the system is occasionally constrained. This means that, in the event of an emergency, it may be faster to get oneself to the hospital via private transport or a taxi instead of waiting for an ambulance. Nonetheless, expats can contact the numbers below in an emergency: 

• Ambulance: 115
• Fire department: 125
• Police: 110 

The banking infrastructure in Iran has gradually developed, and the number of private banks has grown over recent decades. But banking, especially when using foreign bank accounts, has been made more difficult for expats as a result of international sanctions against Iran.

Money in Iran

The currency in Iran is the Iranian Rial (IRR), which has experienced extreme inflation. Coins are functionally worthless and rarely used in transactions. Many IRR banknote denominations have quickly devalued, and to keep up with inflation, 'Iran Cheques' are sometimes used like cash.

Expats will find that locals often refer to ‘tomans’ when talking about currency. A toman is the equivalent of 10 rials. Despite this usage, prices are usually always written in rials. For example, the sign next to an item in a shop would state the price in rials, but a shop assistant might drop a zero and refer to the price in tomans.

Banking in Iran

The Iranian banking system consists of a central bank, Bank Markazi. This bank issues currency and oversees all the other state and private banks. Several commercial banks have branches located throughout Iran.

Some expats won't be able to access international banking services, and opening a local account may be the only option for those planning on staying in Iran for anything more than a few months.

Interest rates at banks in Iran, as well as the services offered, vary greatly. It’s best to compare institutions when choosing where to bank. Factors to consider include fees, the availability of online banking, and the number of branches and ATMs available in the country.

Credit cards and ATMs

As a result of economic sanctions, it is very difficult to use foreign credit and debit cards in Iran. Those visiting Iran for a short business trip should bring enough cash to exchange for local currency. Bureaux de change can be found at the Tehran airport, most banks and hotels.

For those with a local bank account, ATMs are generally easy to find, but they can be limited outside the main urban centres.

Taxes in Iran

The tax system in Iran is complex. For this reason, most foreigners working in Iran hire a tax expert to ensure that they pay their taxes correctly. An expat’s employer may also be able to help them establish their tax liabilities.

Broadly, Iranian tax residents are charged tax on all income earned both in Iran and globally, while those not resident for tax purposes in Iran pay tax only on locally earned income. Income is taxed on a progressive scale ranging from zero to 35 percent.

Safety in Iran is a concern for expats. While ordinary Iranians are generally welcoming to foreigners, political tensions between Iran and several Western governments mean that expats (particularly those from the USA, the UK, Canada, and Australia) should be mindful of their nationality and try not to draw official attention. Expats should therefore avoid getting involved in political demonstrations. Terrorism is also a general threat in Iran, and travel to the border regions should be avoided.

On a day-to-day basis, expats should guard against petty theft. Foreigners in Iran, as in most countries, are easy targets for muggings because they are unfamiliar with their surroundings. Expats should also be careful when using Iranian roads because the accident tolls are notoriously high.

Finally, it's essential that expats realise they won't enjoy all the same freedoms that they would at home. For example, it’s illegal to bring alcohol into Iran or access popular websites that are banned by the Iranian government (or to use VPNs and tools to circumvent the ban). 

Crime in Iran

Although the violent crime rate in Iran is relatively low, the petty crime rate in Iran has increased in recent years. Foreigners are often the targets of non-violent petty crime. Men on motorcycles or in cars are known to snatch bags from individuals on the street or through open car windows. Expats are advised to take sensible precautions to protect themselves against such street crime. They should avoid carrying large amounts of cash and keep their passports safe at all times. It is also advisable to pre-book taxis rather than hail one on the street.

Road safety in Iran

The rate of road accidents in Iran is high. Care should be taken when travelling by road and crossing the street on foot. Foreigners should avoid driving if possible and instead hire a local driver who will be more familiar with road conditions and driving behaviour in Iran. Anyone involved in an accident, however minor, should remain at the scene until police arrive, and a formal report has been made.

Iranian authorities will occasionally set up informal roadblocks in cities and along major highways. Expats should always carry some form of identification with them to avoid disputes. It is also advised that expats avoid driving at night. 

Political tensions in Iran

The political situation in Iran remains volatile, and the country can experience waves of anti-government protests. Demonstrations are heavily policed, and expats should avoid going anywhere near such rallies. International news events can sometimes trigger demonstrations against other countries, and international diplomatic missions have been the focus of such demonstrations in the past.

Border zone safety in Iran 

Certain border zones are regarded as being particularly dangerous. Due to numerous safety concerns, many governments advise their citizens against travelling to areas close to Iran's borders with Iraq, Pakistan and Afghanistan. The area to the east of Bam and Jask, and the province of Sistan-Baluchestan, serve as the main route for drug traffickers from Afghanistan and Pakistan. This area is notorious for banditry.

Terrorism in Iran

There is a general threat of terrorism in Iran. Although large-scale attacks are rare, expats should remain vigilant in crowded public spaces and at large gatherings. The primary terrorism-related risk for expats is kidnapping, particularly in border areas, rather than indiscriminate attacks in urban centres. In general, expats should be vigilant and keep security arrangements up to date.

Natural disasters in Iran

Iran is prone to earthquakes. Expats should familiarise themselves with earthquake safety procedures. Flooding is also common in the country, and it leads to many deaths annually.