ROUHANI AFTER TWO YEARS...for tangible results. This report is divided into four categories: foreign...

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ROUHANI AFTER TWO YEARS PERFORMANCE REPORT

Transcript of ROUHANI AFTER TWO YEARS...for tangible results. This report is divided into four categories: foreign...

Page 1: ROUHANI AFTER TWO YEARS...for tangible results. This report is divided into four categories: foreign policy, economic policy, social and cultural policy, and domestic policy, covering

ROUHANI AFTER TWO YEARSPERFORMANCE REPORT

Page 2: ROUHANI AFTER TWO YEARS...for tangible results. This report is divided into four categories: foreign policy, economic policy, social and cultural policy, and domestic policy, covering

INTRODUCTION

FOREIGN POLICY PROMISES The Nuclear File Regional challenges Visa Restrictions

ECONOMIC PROMISES Legacy of the previous government Economic sanctions and structural challenges Decreaseofinflation Economic growth, improving business environment and increasing employment Privatization Strengthening of national currency Oil and gas production Establishment of social housing Improving wages

Criticsofthegovernment’seconomicrecord

SOCIAL & CULTURAL POLICY PROMISES Universal health coverage Re-launchoftheNationalOrchestraandTehran’sSymphonicOrchestra Improving of the status of teachers Theremovaloffiltersonsocialmedia Linguistic rights for minorities in Iran Freedom of expression Promotion of gender rights and elimination of gender inequality

DOMESTIC POLITICS Release of political prisoners Reopening the Bureau of Political Parties Elimination of discrimination against ethnic and religious minorities Return of Iranian expatriates to Iran Elimination of gender discrimination Charter of Civil Rights Management Saving Lake Urmia Barrierstofulfillingdomesticpoliticalpromises

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TABLE OF CONTENT

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INTRODUCTION

This report provides Iranians and the international community with a detailed recordofthecampaignpromisesofIran’spresident,HassanRouhani,andhisadministration’seffortstoachievethosepromises.Itoffersanin-depthanalysisoftheadministration’saccomplishmentsandfailuresbyfact-checkingfortangibleresults.

This report is divided into four categories: foreign policy, economic policy, social and cultural policy, and domestic policy, covering the major policy areas inwhichRouhanipromisedtoprioritizehisworkaspresident.Thefindingsof this report suggest that the top priority of the second year of the Rouhani administration has been the nuclear program and the lifting of economic sanctions.ByreachinganucleardealwiththeP5+1states,thegovernmentfulfilledoneofitsmaincampaignpromises.Asaresult,Rouhanihasbeenable to advance diplomatic efforts aimed at getting the UN Security Council to liftitssanctionsonIran.

ThegovernmenthasfailedtomakeprogressonRouhani’scampaignpromisetoreduceIran’sregionalisolationandimproveitsrelationswithSaudiArabiaandotherneighbouringGulfStates.Onthecontrary,Iran’srelationsintheregionhavesignificantlydeteriorated.ThechangeofleadershipinSaudiArabia,theproxywarinYemen,andotherongoingconflictsintheMiddleEastallcontributetoIran’sisolation.

Rouhani’sgovernmenthasamixedrecordoneconomicpolicy,whichwasaparticularlyimportantfactorforvotersduringthe2013presidentialelection.Successesincludekeepingtheinflationratesteadyat14.5percent,downfromhighsofover40percentunderthepreviousgovernment,andstabilizingthecurrency.Onjobcreation,thegovernmenthastakensmallstepstofulfillitspromisetolowertheunemploymentrate.Oilandgasproductionfellslightlyto3millionbpd.Worker’swageswerefinallyadjustedtoaccountforinflation,thoughtheyremainsignificantlylowerthanwhatworkershaddemanded.

The government has struggled to improve economic conditions in other areas, such as recovering from the recession, improving national subsidy programs, andstimulatinggrowthinthefinancialsector,foreigninvestment,andthestockmarket.Rouhani’sgovernmenthasexpressedhopethattheremovalofsanctions and the accompanying release of national assets will have a positive impactongeneraleconomicconditions.

Onsocialandculturalpolicies,thegovernmenthasfulfilledtwoofitscampaignpromises,namelythere-launchofIran’sNationalSymphonicOrchestra,andtheimplementationofuniversalhealthcoverage.However,regardingInternetcensorshipandthefilteringofsocialnetworkingwebsites,thegovernmenthasnotmadesignificantprogress.

ROUHANI AFTER TWO YEARS: PERFORMANCE REPORT 1

INTRODUCTIONFOREIGN POLICY PROMISESECONOMIC PROMISESSOCIAL & CULTURALPOLICY PROMISESDOMESTIC POLITICS

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ROUHANI AFTER TWO YEARS: PERFORMANCE REPORT 2

Ondomesticpolicy,thegovernmenthasshownlittleprogressinfulfillingitscampaignpromises.TheRouhanigovernmenthasneglectedakeycampaignpromise to free political prisoners, including the three leaders of the Green Movementwhohavebeenunderhousearrestsince2011.Thegovernmenthasalsofailedtooverturnthejudiciary’sbanonmediacoverageofreformistformerPresidentMohammadKhatami.

ThereopeningoftheBureauofPoliticalParties,establishedin2001duringKhatami’spresidencywiththegoalof“guaranteeingandinstitutionalizingpolitical activities,” is sometimes cited as one of the major domestic achievementsofRouhani’sgovernment.However,thishashadnosignificantimpact on improving free political participation or institutionalizing and strengtheningpoliticalpartymembership.

AnotherimportantaspectofRouhani’sdomesticpolicypromisesconcernsthestatusofIran’sethnicminorities.Rouhani’sgovernment,alongwiththeGovernorofAzerbaijan,attemptedtoestablishtheConservatoryoftheTurkish(Azeri)Language.However,thegovernment’seffortswerenotasextensiveasRouhani’scampaignpromised.TherehavealsobeensmallgrassrootseffortsintheprovinceofKurdistantoteachtheKurdishlanguageinschools.However,thegovernmenthasnotyetannouncedastrategicplantoimplementsuchaprogram,failingtofulfillitscampaignpromisesinthisregard.

Thegovernment’spoliticalwilltocombatgenderandethnicdiscriminationhasalsobeeninsufficient,withlimitedpositivechanges.

INTRODUCTIONFOREIGN POLICY PROMISESECONOMIC PROMISESSOCIAL & CULTURALPOLICY PROMISESDOMESTIC POLITICS

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ROUHANI AFTER TWO YEARS: PERFORMANCE REPORT 3

FOREIGN POLICY PROMISES

In the second year of his term, President Rouhani faced regional security challengesandconductedprolongednucleartalks.Thesechallengeshinderedeffortstofulfillhisotherforeignpolicypromises.Theconclusionofthenucleardealshouldsignificantlyimprovethegovernment’seffortsinforeignpolicy,thoughitwillhavelimitedimpactonthegovernment’sregionalchallenges.

Duringhispresidentialcampaign,HassanRouhanipromisedconstructiveengagementwiththeWestandthealleviationofthenuclearcrisis.SuchpromisesgainedhimatremendousamountofsupportfromthepeopleofIran.TheirfulfillmentbecamethefoundationofRouhani’spresidencyinitsfirsttwoyears.

The government made tremendous efforts to mobilize its resources to solve thenuclearissue.Rouhanihasbeencriticizedforputtingallhiseggsinthebasketofthenucleardeal,withoutanyhavinganyequallysignificantalternativepriorities.

However,Rouhanibelievedthatanucleardealwasnecessaryforanyeconomicdevelopment.Hard-lineandconservativefactions,whotheRouhanigovernmentcallsthe‘beneficiariesofsanctions’becausetheirprivilegedplacein the Iranian economy would be threatened a more open economy, continued theireffortstohinderaproductivenucleardeal.

Now that the government has achieved a nuclear deal - its ultimate priority - it canbegintofulfillitsdomesticpoliticalpromises.OnesuchpromiseincludesthereleaseofmembersoftheGreenMovementfromhousearrest.Thus,it is likely that the nuclear deal will free government resources to pursue its domesticpolicypriorities.

The Nuclear File

After13monthsofnegotiations,anucleardealwasreachedinJulyof2015betweenIranandthetheP5+1(thefivepermanentmembersoftheUnitedNations Security Council—China, France, Russia, United Kingdom, United States—plusGermany),andtheEuropeanUnion.

The length of the negotiations presented numerous challenges for the government.Itallowedfortheopponentsofthedealtomobilizeoppositiontothe deal through seminars and conferences and to publish media reports that hinderedthegovernment’seffortstoreachadeal.ConservativesinParliamentsummonedtheMinisterofForeignAffairsseveraltimestoParliamentforquestioning,andfrequentlyreferredtohimasatraitorduringhisappearances.Parliament even issued a critical letter signed by 77 of its members to further

INTRODUCTIONFOREIGN POLICY PROMISES

The Nuclear File

Regional Challenges

Visa Restrictions

ECONOMIC PROMISESSOCIAL & CULTURALPOLICY PROMISESDOMESTIC POLITICS

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underminetheMinistryofForeignAffairsduringthetalks.The ongoing economic crisis further contributed to political tensions and made thesuccessofthenucleardealofcentralimportancetothegovernment’slegacy.

ThenucleardealwasreachedinthefinalmonthofRouhani’ssecondyear.Thegovernmentishopefulthatinthefollowingmonthsitwillfinallybeabletofulfillmanyofitscampaignpromisesonforeignpolicy.

Shortly after its signing, the United Nations Security Council unanimously endorsedthenucleardealinresolution2231.Inaccordancewiththedeal,theCouncil also set in motion a process to lift international sanctions in exchange forstringentnewcontrolsonTehran’snuclearprogram.

Iran’sfilewasremovedfromChapterSevenoftheUNCharter,whichisconcerned with threats to global peace and security, and placed under Chapter FortyOne,achangewhichbringsseverallegalbenefits.Theresolutionsetsout the plan for the gradual removal of sanctions against Iran, sets limitations onIran’snuclearactivitiesandtheimplementationofsafetyprotocols,andendorsesthemonitoringofthenuclearsectorinIran.Restrictionsonthesaleofnuclear-relatedmaterialwillstayinplacefor10years.

ThewithdrawalofIran’sfilefromtheSecurityCouncilconstitutesafulfillmentofRouhani’scampaignpromise.SanctionsagainstIranshouldbegintowinddownsolongasIrancomplieswithitscommitments.

The agreement obliges Iran to take certain measures with respect to its existingnuclearprogram.Iranwillbeallowednomorethan5,065early-generation centrifuges at Natanz, the primary uranium enrichment facility—abouthalfthepreviousnumber.Itmustreduceitsuraniumstockpileby98percentto300kgfor15years.ItmustconvertitsFordownuclearfacilityintoaresearchcentreandremoveanyexistingcapacitytoenrichuranium.Anditmust allow for outstanding issues in its nuclear-related military activities prior to2003,whenthenuclearprogramwasfirstrevealed,toberesolvedbytheInternationalAtomicEnergyAgency(IAEA).

BeforesanctionscouldbegintobeliftedanIAEAreportwasneededtocorroborateIran’simplementationofthenuclearagreement.ThisreportwassubmittedtotheIAEA’sBoardinGovernorsbyitsDirectorGeneralinearlyDecember2015.TheBoardcloseditsinvestigationintothePossibleMilitaryDimensions(PMD)ofIran’snuclearprogramshortlythereafter.

Iranalsoagreedtothe‘AdditionalProtocol’withtheIAEA,whichgivesinspectors increased access in perpetuity to nuclear facilities for monitoring andverification.TheAgencywillhavecontinuousaccesstoIran’sentiresupplychain, including uranium mines, mills, factories manufacturing centrifuges,

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INTRODUCTIONFOREIGN POLICY PROMISES

The Nuclear File

Regional Challenges

Visa Restrictions

ECONOMIC PROMISESSOCIAL & CULTURALPOLICY PROMISESDOMESTIC POLITICS

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andcentrifugespinningfacilities.IranmustgranttheIAEAaccesstoanysites it suspects are involved in covert enrichment, centrifuge production, or yellowcakeproduction.LackofcompliancewithanyoftheprovisionswouldbereferredtotheP5+1forfurtheraction.

Regional Challenges

Rouhani has faced unexpected regional challenges that have hindered his campaignpromisetoimproverelationswithneighbouringpowers.ThesecurityofIran’sborderwithIraqbecameaconcernasISISexpandeditsreachacrosstheregion.Additionally,theMinistryofForeignAffairscameunderattackbyconservative opposition groups for neglecting diplomatic relations with the GulfStatesandSaudiArabia.Moreover,thepoliticalcrisisinYemenescalatedtensionsbetweenIranandSaudiArabia.TheSupremeLeader’saggressivetoneagainsttheSaudigovernmentalsodidnothelpthegovernment’sengagementwithSaudiArabia.Effortsatrapprochementfacedserioussetbacksearlyin2016afterIranianprotestersstormedtheSaudiembassyin Tehran to protest the execution of Nimr al-Nimr, a Shia religious leader in Riyadh.

Thegovernmentalsocanceledthepilgrimages(Umrah)duetopublicoutcryagainst the case of two Iranian pilgrims who were sexually abused at the airportinJeddah.

SaudihasmobilizedresourcesanddiplomaticinfluenceagainstIran.Arab-language media are often antagonistic towards Iran, contributing to tensions betweenthetwostates.

FallingoilpriceshascontributedtoadecreaseinIran’soilrevenues,aphenomenonthatRouhanihasdescribedasaconspiracyagainstIran.

EventhoughRouhanitriedtoreconcileitsdifferenceswithSaudiArabia,the new crowned Saudi King has adopted more aggressive policies than his predecessor towards Iran, and has shown little will for improving diplomatic relations.

ThesetensionshavepreventedRouhanifromfulfillinghispromisetoimproveIran’sregionalisolation.ThesuccessfulimplementationofthenucleardealholdsoutsomepromiseofimprovingIran’sforeignrelationshipsasRouhanientershisthirdyear.

ItisimportanttonotethatregionalsecuritychallengesinSyria,YemenandotherArabstateshaveinvolvedthemilitary,theNationalSecurityCounciland the Quds forces, which operate outside of the authority of the Rouhani administration.

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INTRODUCTIONFOREIGN POLICY PROMISES

The Nuclear File

Regional Challenges

Visa Restrictions

ECONOMIC PROMISESSOCIAL & CULTURALPOLICY PROMISESDOMESTIC POLITICS

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Visa Restrictions

Rouhani’spromisetoaddresswidespreadvisarestrictionforIranianpassportholderswasleftunmetthisyear.TheUnitedArabsEmiratesdeportedmanyIraniannationalsandrefusedtheextensionoftheirvisas.Iraniancitizenstravellingabroadfacesignificantrestrictions.Iranranks98ontheVisaRestrictionsIndex;holdersofanIranianpassportcanvisit37countriesvisa-freeorwithvisaonarrival.

Rouhani’spromisetoopenthesocialandpoliticalenvironmentinIranfacessignificantdomesticoppositionfromhard-lineandconservativefactions,bothofwhoseinfluenceextendstomanykeygovernmentbodies.Thegovernmenthopes that the implementation of the nuclear deal and lifting of sanctions will leadtobetterrelationswiththeWestandimprovementsinIran’sinternationalstanding.Rouhanihopesthatthegovernment’sdomesticlegitimacywillincreasewiththefinalizationofthenucleardeal.Additionally,RouhaniwantsIrantoplayasignificantroleinreducingregionalcrises.SuccessintheseareaswouldgiveRouhanigraterleveragetoimplementsocialandpoliticalreforms.

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INTRODUCTIONFOREIGN POLICY PROMISES

The Nuclear File

Regional Challenges

Visa Restrictions

ECONOMIC PROMISESSOCIAL & CULTURALPOLICY PROMISESDOMESTIC POLITICS

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ROUHANI AFTER TWO YEARS: PERFORMANCE REPORT 7

INTRODUCTIONFOREIGN POLICY PROMISES

The Nuclear File

Regional Challenges

Visa Restrictions

ECONOMIC PROMISESSOCIAL & CULTURALPOLICY PROMISESDOMESTIC POLITICS

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ECONOMIC PROMISES

Duringthepresidentialcampaign,HassanRouhanipresentedaveryhopefulimageofthefutureeconomicsituationofIran.Heproposeda‘100daysolution’for the continuing economic crisis and represented the nuclear agreement as a potentialremedy.

However,bythesecondyearofhispresidency,RouhaniwasmorecircumspectindescribingIran’seconomicprospects.Anumberofissuescontributedtothechange in tone: the increasingly drawn-out nuclear negotiations, decline of oil prices,institutionalcorruptionleftoverfromtheAhmadinejadadministration,andissuescausedbytheoutsizeinfluenceofprivateeconomicactors,suchastheIranianRevolutionaryGuardandgroupsconnectedtotheSupremeLeader.

Challenges and obstacles:Legacy of the Previous Government

AftertheelectionofHassanRouhani,theextentofilliciteconomicactivityallowedbythepreviousgovernmentgraduallybecameapparent.TheRouhanigovernmentarguesthattheinefficientandcorruptmanagementofAhmadinejad’sgovernmenthasdonelong-lastingdamagetotheIranianeconomy.

ManyofAhmadinejad’seconomicinitiativeswereimplementedinawaythatlimitstherangeofoptionsavailabletothenewgovernment.ThepreviousgovernmenttransferredprofitableindustriestoprivateactorswithextensiveconnectionstoAhmadinejad’sbaseofpower,includingmainsourcesofwealthsuch as state-owned industries, the banking sector, customs and taxation, oilrevenuesandsalesofgovernmentbonds.Firstvicepresident,EshaghJahangiry,claimedthatover100billiondollarsofrevenuesfromloansandleases extended to private economic institutions linked to powerful state factionswereneverreturnedtothetreasury.Also,inthebankingsector,thelack of obligatory payments for loans, or adequate down payments, restricted the government from accessing resources to promote further development projects.Additionally,Ahmadinejadmadelargenumbersofpatronagehires,inflatingthebureaucraticsystem,andleadingtoinefficientandpoorlyorganizedfinancialandbudgetaryresources.

INTRODUCTIONFOREIGN POLICY PROMISESECONOMIC PROMISES

Legacy of the Previous Government

Economic Sanctions and StructuralChallenges

Decrease of Inflation

Economic Growth, Improving BusinessEnvironment and Increasing Employment

Privatization

Strengthening of National Currency

Oil and gas Production

Establishment of Social Housing

Improving Wages

Critics of the Government’s Economic Record

SOCIAL & CULTURALPOLICY PROMISESDOMESTIC POLITICS

ROUHANI AFTER TWO YEARS: PERFORMANCE REPORT 8

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Economic Sanctions and Structural Challenges

Rouhani recently highlighted the role of economic sanctions in constraining economic growth, and argued that without sanctions relief, the government could only perform a limited, protective role, and could not actively promote economicprosperity.Rouhani’stacticofblamingsanctionsforallmajorsocialandeconomicissueshasbeenattackedbymanycritics.

The economic system in Iran faces structural challenges that inhibit economic growthandprosperity.Alargeshareoftheeconomyisstrictlycontrolledbyeconomic institutions that belong to Supreme Leader and his entities, including theExecutiveCommitteeoftheImamKhomeini’sOrder,IslamicResearchFoundationofAstanQudsRazavi,andtheMostazafanFoundationofIslamicRevolution.Thesebonyads,orcharitablefoundations,controlbillionsofdollarsinassetsandareunderthedirectcontrolofSupremeLeaderKhamenei.Thearmyandthepoliceforcealsocontrolasignificantshareoftheeconomy.

These economic entities often have large businesses and holdings that haveprivilegedaccesstoresourcesfrombanksandotherlargeinstitutions.They control a commanding share of imports and exports through exclusive accesstoportsthatareoutsidethesupervisionofcustoms.ThestructureofIran’seconomyallowsforsuchpowerfulindependenteconomicentitiestoactindependentlytopromoteorhindergovernment’seffortsintheeconomy.

Thestrengtheningofthegovernmenttofulfillitspromises

Despitethesechallenges,thegovernmenthasbeenabletofulfillafewofitseconomicpromises.ThegovernmentofRouhanibelievesthatitsimplementedstrategies, including the redirecting of the economy and revitalizing the rail transitsystem,havesignificantlycontributedtoeconomicgrowth.Rouhaniargues that the central role of its government is to restore stability in the business environment and earning back trust back in the government after yearsofcorruptionunderAhmadinejad.

The government argues that changes to how strategic economic decisions are made, including wider consultation among different constituents including government decision-makers and economic advisors, has led to marked improvementsintheeconomyoverthepasttwoyears.ThemarketismorestableincomparisontothefinalyearoftheAhmadinejadpresidency,andeconomicgrowthhasreturnedaftercontracting5.8percentin2013.

Promises on economic measures

The government of Rouhani has committed to achieving certain economic targets:

ROUHANI AFTER TWO YEARS: PERFORMANCE REPORT 9

INTRODUCTIONFOREIGN POLICY PROMISESECONOMIC PROMISES

Legacy of the Previous Government

Economic Sanctions and StructuralChallenges

Decrease of Inflation

Economic Growth, Improving BusinessEnvironment and Increasing Employment

Privatization

Strengthening of National Currency

Oil and gas Production

Establishment of Social Housing

Improving Wages

Critics of the Government’s Economic Record

SOCIAL & CULTURALPOLICY PROMISESDOMESTIC POLITICS

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Decrease of Inflation

Themostimportantobstacleforeconomicgrowthisstagnationandinflation.The government believes that foreign investment, removal of sanctions and economicopennessaresuccessfulstrategiestocombatinflation.Thus,the government recognized the resolution of nuclear negotiations the most importantapproachtoaddressingeconomicissuesacrossthecountry.

Thegovernmentbelievesthatithasbeenabletobringinflationdownto15percent.Lastyear,Rouhanibelievedhisgovernmentcouldlowertheinflationrate into single digits, which was stymied by the decrease in oil prices and high interestrates.

Somecriticsbelieveinflationishigherthan15percent,andthatreportedratesaresubjecttogovernmentmanipulation.Insupportofthistheyarguethatitisimpossiblefortheinflationratetobeat15percentwhentheinterestratesatbanksarecloseto25percent.Evenassumingthatthegovernment-reportedfiguresareentirelyaccurate,Iranhasoneofthehighestinflationratesintheworld.

Massoud Nili, the chief economic advisor to the government, believes the governmenthasmademajorgainsinthebattleagainstinflation.Hearguesthatthepublichasafavourableimpressionofthegovernment’smanagementofinflationandshowsincreasedtrusttowardsgovernmentbodies.Thestabilization of the currency market as well as control and reduction of monetary basegrowthhavealsohelpedindealingwitheconomicinflation.

Economic Growth, improving Business Environmentand increasing Employment

Sanctionshavepreventedthegovernmentfrommakingsignificantimprovementsinthebusinessenvironmentandjobcreation.Thegovernment’soriginal strategy for job creation was the removal of sanctions, which Rouhani believedcouldbereachedinhisfirstonehundreddaysinoffice.Howeveraftertwo years, and despite reaching a nuclear deal, skepticism is high that the deal willhavearapidimpactonthegrowthoftheeconomy.

Growth has slowed in the past year due to decreased oil prices and the protectionist policies of the previous government, which Rouhani hoped to changeearlyinhisterm.Thegovernmentbelievedithadtakenthenecessarymeasurestoattractdomesticandforeigninvestmentandovercomeinflation.Rouhani appointed Mohammad Nahavandi, former President of Chamber ofCommerce,astheheadoftheOfficeofthePresident.Havingafinancialexecutive as the face of the government was meant to signal an openness to industrialistsandbusinessmenandcompromiseinforeignpolicy.Despitethese

ROUHANI AFTER TWO YEARS: PERFORMANCE REPORT 10

INTRODUCTIONFOREIGN POLICY PROMISESECONOMIC PROMISES

Legacy of the Previous Government

Economic Sanctions and StructuralChallenges

Decrease of Inflation

Economic Growth, Improving BusinessEnvironment and Increasing Employment

Privatization

Strengthening of National Currency

Oil and gas Production

Establishment of Social Housing

Improving Wages

Critics of the Government’s Economic Record

SOCIAL & CULTURALPOLICY PROMISESDOMESTIC POLITICS

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efforts, the United Nations Conference on Trade and Development reported that foreigninvestmentinIrandecreasedyear-over-yearin2015.

Whiletheoverallenvironmentforjobcreationhasimproved,accordingtotheWorldBankDoingBusinessreport,thejobmarketfacedseveralproblems.Production costs increased due to higher interest rates, rising energy costs, taxes,increasewages,andimportexpensesduetosanctions.Thisledtofallingindustrialproductionandtheclosureofmanyproductionsitesinthepastyear.The construction budget was slashed and job growth in the public sector was stagnant as slumping oil prices, sanctions against the banking sector and oil industries,andsubsidiestoaffluentclassesconstrainedgovernmentspending.

Additionally,thedominationofotherorgansofthegovernmentinmajorindustries, including the military and intelligence agencies, further crowded out privateinvestmentopportunities.Thearrestofindividualsinvolvedincorruption,and a lack of judicial transparency in trials related to economic crimes, led to a reluctance among some investors and hindered the environment for economic growth.

Privatization

The government has begun to establish proper mechanisms to transfer state-ownedindustriesintotheprivatesector.Theseeffortshaveyettoyieldsignificantresults.Rouhani’sonlynotablemovehasbeentransferringownership of state assets to private institutions to pay off governmental debts.TheCabinetofficiallyapprovedthesaleofgovernmentassetstopayoff debt for government institutions, including for the Ministry of Roads and Urban Development, allowing some projects that had been stopped due to lackoffundingtobeginrunningagain.ManyofthesecontractsbelongtotheFoundationofMostazafanandKhatamAlnbya,semi-privateinstiutionswithcloselinkstotheSupremeLeaderandtheRevolutionaryGuard,respectively.

Strengthening of National Currency

StrengtheningthevalueofthenationalcurrencywasoneofRouhani’stoppromises.NotonlyhasthegovernmentnotbeenabletoincreasethevalueoftheRial,therehasbeenanadditional10percentdecreaseinitsvaluecomparedtotheU.S.dollar.However,consideringtheinflationrate,thecurrency has been relatively stable which has had a positive impact on the bureaucraticproblemsfacingbanksandtraders.

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INTRODUCTIONFOREIGN POLICY PROMISESECONOMIC PROMISES

Legacy of the Previous Government

Economic Sanctions and StructuralChallenges

Decrease of Inflation

Economic Growth, Improving BusinessEnvironment and Increasing Employment

Privatization

Strengthening of National Currency

Oil and gas Production

Establishment of Social Housing

Improving Wages

Critics of the Government’s Economic Record

SOCIAL & CULTURALPOLICY PROMISESDOMESTIC POLITICS

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Oil and Gas Production

The government tried to keep the production of oil and gas consistent with last year.Howeverduetothelengthofnuclearnegotiationsandfailuretoremoveinternationalconstraintsontrade,theproductionandexportofoilfellthisyear.

BasedonthefindingsofShell’sannualreport,Iranisfirstintheworldforitsgasreservesandfourthforitsoilreserves.Thereportishopefulthatthenuclear deal and lifting of sanctions will allow for Iran to expand business with multinationaloilcompanies.ThereportalsonotedthatafewoilcompanieshavealreadybegantoopentheirofficesinTehranandareattheforefrontofcompaniesthatwanttodobusinesswithIran.

The government is taking greater steps in increasing oil and gas production, andestimatesthatproductionwilldoubleinthenexttwoyears.Thisisduetothe removal of sanctions and an increase of interest by international energy companiesintheIranianmarket.

Establishment of Social Housing

The establishment of social housing was considered as an alternative project toAhmadinejad’scollosalMehrHousingProject.However,sinceRouhani’sgovernment was unable to complete the plan from the previous government, ithasnotbeenabletosustainitspromise.Thegovernment’slackoffinancialresourceshadasignificantimpactonitsabilitytocompletetheprojects.

Improving Wages

Thegovernmentincreasedworker’swagesandtieditwiththeinflationrate,thoughtheincreasewaslowerthantheworkers’originaldemands.Therepresentativesoftheunioncriticizedtheraiseasinsufficient,statingthatinthelongrun,itwouldnotimprovetheworkerssituation.Thegovernmentarguedthat larger increases wages would contribute to the rise of production costs, leadingtolayoffsandworseningconditionsforemployment.

Critics of the Government’s Economic Record

Critiquesofthegovernment’seconomicrecordcomesfromadiversearrayofconstituentswithdifferentgrievances.Thefactionaldifferenceswithinthegovernment’seconomicteammakeitdifficulttoimplementacoherenteconomicprogram.

Atthesametime,criticsclaimthatthegovernment’seconomicteamhasinvesteddisproportionateresourcesinsecuringthenucleardeal.Masoud

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INTRODUCTIONFOREIGN POLICY PROMISESECONOMIC PROMISES

Legacy of the Previous Government

Economic Sanctions and StructuralChallenges

Decrease of Inflation

Economic Growth, Improving BusinessEnvironment and Increasing Employment

Privatization

Strengthening of National Currency

Oil and gas Production

Establishment of Social Housing

Improving Wages

Critics of the Government’s Economic Record

SOCIAL & CULTURALPOLICY PROMISESDOMESTIC POLITICS

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Nili,chiefeconomicadvisertothegovernment,arguesthatthegovernment’sstrategy is to control and prevent any economic crises until the nuclear agreement is sealed, following which the government can expand its economic developmentplans.Criticsalsoclaimthatgovernmentsubsidieshavehadadevastating impact on state budget and have forced the government to spend thedevelopmentresourcesofdifferentministriesonsubsidies.

Thestockmarkethassignificantlydecreasedinvalue.Accordingtoexperts,itisestimatedthatnearly50billiondollarshasbeenlostinthestockmarket.Poormanagementofgovernmentfinancesisoneofthecausesofthisweakperformance. The government has also failed to address the negative economic consequencesofhighinterestrates.Manyeconomistsbelievethatthe25percentratesthatmanybanksofferinhibitsinvestment.FormerMinisterofEconomy and former chief of central bank, Tahmasb Mazaheri, believes that anti-inflationpoliciesofthegovernmenthascontributedtothescarcityofmoneyforfinancing.Hearguesthatlackofgovernmentleadershipintacklinginflationhascausedsignificantproblemsfortheeconomy,whichwillremainevenaftertheremovalofsanctions.

TheunemploymentrateinIranisover12percent,amongthehighestintheworld.AccordingtoInternationalMonetaryFund,unemploymentisexpectedtoworseninIranin2016.CriticsbelievethatrisingunemploymentwillcontributetothenegativeimpactofinflationfeltbyIranianhouseholds.

Critics believe that such shortcomings indicate that government of Rouhani has onlybeenabletomanageeconomiccrisesandhasfailedtofulfillitspromisesofgrowth.

Ingeneral,theeconomicproblemsperceivedinthesecondyearofRouhani’sgovernment are due to continuation of recession, the lengthy process of the nucleardealaswellasthedeclineinoilprices.Thegovernmenthopesthatthenuclear deal and the lifting of sanctions will encourage foreign investment and couldcreateaneweconomicenvironmentforIran.

ROUHANI AFTER TWO YEARS: PERFORMANCE REPORT 13

INTRODUCTIONFOREIGN POLICY PROMISESECONOMIC PROMISES

Legacy of the Previous Government

Economic Sanctions and StructuralChallenges

Decrease of Inflation

Economic Growth, Improving BusinessEnvironment and Increasing Employment

Privatization

Strengthening of National Currency

Oil and gas Production

Establishment of Social Housing

Improving Wages

Critics of the Government’s Economic Record

SOCIAL & CULTURALPOLICY PROMISESDOMESTIC POLITICS

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ROUHANI AFTER TWO YEARS: PERFORMANCE REPORT 14

INTRODUCTIONFOREIGN POLICY PROMISESECONOMIC PROMISES

Legacy of the Previous Government

Economic Sanctions and StructuralChallenges

Decrease of Inflation

Economic Growth, Improving BusinessEnvironment and Increasing Employment

Privatization

Strengthening of National Currency

Oil and gas Production

Establishment of Social Housing

Improving Wages

Critics of the Government’s Economic Record

SOCIAL & CULTURALPOLICY PROMISESDOMESTIC POLITICS

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SOCIAL & CULTURAL POLICY PROMISES

There has been mixed progress on the social and cultural policy promises of thegovernment.Intotal,from23promises,only5havebeenfulfilledand6moreareinprogress.Theresthavefailedtobeimplemented.Oneofthemainreasonsforthegovernment’spoorperformanceonsocialandculturalissuesisthepoweroftheSupremeCounciloftheCulturalRevolution(SCCR)intheimplementationofsuchpromises.ThisCouncilisasignificantgovernmentorganthathasfinalsayontheimplementationofsocialandculturalpolicies.EventhoughPresidentRouhaniistheexofficiochairmanoftheCouncil,theSupremeLeaderandreligiousauthoritieshaveasignificantpowerovertheSCCR’sdecision-making. ThefollowingoutlinesRouhani’ssocialandculturalcampaignpromises,andtheirprogressduringthesecondyearofRouhani’spresidency:

Universal Health Coverage

Thereseemstobesignificantprogressintheimplementationofthisprogram.Inthepasttwoyears,universalhealthcoveragehasbeenfulfilledaspartofRouhani’ssocialandculturalpolicyplatform.

Duringthesecondanniversaryofhiselection,Rouhaniannouncedthat9.2millionpeoplehavebeencoveredbytheuniversalhealthplan.Thisstatisticsconfirmthathisgovernmenthasbeenabletoprovidecoverageforasignificantnumberofpeopleacrossthecountry.

Rouhani’scampaignpromisedtoissueidentificationcardsforpatientstogeteasyaccesstohealthcoverage.Duringthefirstyearofhispresidency,coveragewasprovidedinMazandaranandZanjanprovinces.Onhissecondyear, the head of universal health care in the Markazi province announced 1,031cardshavebeenissuedforpeopletohaveaccesstotheservices.

However,theplanfortheuniversalhealthcoverageisunderscrutinybytheopposition.Someoftheconcernsincludewhoiseligibleforthecoverage,howmany new users were not already insured by other plans, and what percentage ofthepopulationarecurrentlycoveredbytheuniversalhealthcare.

Re-launch of the National Orchestra and Tehran’sSymphonic Orchestra

Rouhani’scampaignpromiseinthisregardhasbeenfulfilled.Afterathreeyearhiatus,theTehranSymphonyOrchestrawasre-launchedinMarch2015byAliRahbari,awellknownIraniancomposerandprincipalconductor.Thiseventdrewwidespreadcoverageandwasconsideredpoliticallysignificantinthe

INTRODUCTIONFOREIGN POLICY PROMISESECONOMIC PROMISESSOCIAL & CULTURAL POLICY PROMISES

Universal Health Coverage

Re-launch of the National Orchestra and Tehran’s Symphonic Orchestra

Improving of the Status of Teachers

The Removal of Filters on Social Media

Linguistic Rights for Minorities in Iran

Freedom of Expression

Promotion of Gender Rights and Elimination of Gender Inequality

DOMESTIC POLITICS

ROUHANI AFTER TWO YEARS: PERFORMANCE REPORT 15

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country.AmongsttheattendeesoftheopeningceremonywereVicePresidentEshaghJahangiry,AliJannati,theMinisterofCultureandIslamicGuidanceand ambassadors and diplomats from different embassies, including the Dutch ambassadorinTehran,JosDouma.Also,inMay2015FarhadFakhreddini,afamouscomposerofPersianclassicalmusic,conductedthefirstconcertoftheNationalOrchestraafteratwoandhalfyearhaitusduetofinancialproblemsTheconcertfeaturedSalarAghiliandKeyvanSaket,whoarewell-knownmusiciansandcomposersinIran.

Improving of the Status of Teachers

Progressonthispromisehasbeenlimited.AliasgharFani,theMinisterofEducation,recentlyannouncedthatteacherswhohavebeenfiredorbannedfromteachingneedthegovernment’sattention.HehasalsoclaimedthattheMinisterofIntelligence,MahmoudAlavi,ismeetingacademicsandintellectualstodiscussthereleaseofafewteacherscurrentlyinprison.

In the past two years teachers and academics have been outspoken about theirstruggles,whichhascontributedtomultiplestrikesacrossthecountry.However,thestrikesandcomplaintsledtothedetentionandprosecutionofmanyteachersandactivists.SuchactionsagainstteachersiscountertowhatHassanRouhanipromisedlastyear,whenhedeclaredthateveryonehastherighttopubliclycriticisethegovernment.

EsmailAbdi,theheadtheteacher’sunion,wasarrestedinJune2015andcurrentlyresidesinIran’sEvinprison.Teacher’srightsactivistMiladDarveeshsaidthatinrecentmonths,theformerheadoftheteacher’sunionAliakbarBaghbani,andtheheadofteacher’sorganization,AlirezaHashemi,whowerebothoriginallyagainsttheteacher’sstrikes,havealsobeenarrested.MahmoudBagheri,HashemKhastar,AliPoursaliman,RasoulBadaghi,AliakbarBaghbani,Mahmoud Beheshty Langaroudi and Mohammad Davari are among activists whohavebeenimprisonedsincethepresidentialelectionof2009.

Considering the crackdown on union activists and lack of change in the situationofteachers,Rouhani’sgovernmenthasfailedtofulfillhiscampaignpromisestothem.Nationalnewsmedia,however,hasreportedthattheMinisterofEducationhassentalettertotheMinistryofJusticedemandingamnestyfortheimprisonedteachers.Thisrequestwasnotaccepted,andmoreteachers’rightsactivistshavebeenarrestedinthemeantime.

The removal of Filters on Social Media

Progressinthisfieldhasbeenlimited.Thisisdespitethefactthatmanygovernmentofficials,includingthePresidenthimself,areactiveusersofsocialmedia.

ROUHANI AFTER TWO YEARS: PERFORMANCE REPORT 16

INTRODUCTIONFOREIGN POLICY PROMISESECONOMIC PROMISESSOCIAL & CULTURAL POLICY PROMISES

Universal Health Coverage

Re-launch of the National Orchestra and Tehran’s Symphonic Orchestra

Improving of the Status of Teachers

The Removal of Filters on Social Media

Linguistic Rights for Minorities in Iran

Freedom of Expression

Promotion of Gender Rights and Elimination of Gender Inequality

DOMESTIC POLITICS

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Thepopularityofsocialmedia,namelyFacebook,Google+,TwitterandYouTube,acceleratedduringIran’scontroversial2009presidentialelection.Duringthepresidentialelectionof2013,manycandidatesutilizedtheseplatformstofurtheradvocatefortheircampaigns.

Inanefforttoincreasedomesticdiscussiononremovingfiltersonsocialmedia,Rouhani’scabinetincreasedtheirownactivitiesonsocialmedia,anddemandedopenaccessforthepublic.However,manygovernmentbodies,namelytheMinistryofJustice,opposedsuchmeasuresandhavestalledalleffortstoremovefilters.

ItisimportanttonotethatRouhanihasofferedsignificantresistancetogovernmentbodiesresponsibleforkeepingsocialmediafilters.Hiscabinethasattempted to normalize the use of such sites by allowing select government officialstobeactiveonTwitterandFacebook.

Linguistic Rights for Minorities in Iran

Rouhani made limited progress implementing his promise for greater linguistic rightsforminorities.Duringhispresidentialcampaign,HassanRouhanireferencedArticle15and19oftheConstitutionandpromisedtoestablishtheAcademyofAzeriLanguageandLiterature,gaininghimenormoussupportamongsttheTurkishcommunitiesinIran.

Twoyearslater,onApril2015,thegovernmentbacktrackedastheAcademyfacedoppositionfromcriticswhowantedPersiantoremainasthesoleofficiallanguageofIran.InitsplacethegovernmentestablishedtheFoundationforCulture,LiteratureandArtsofAzerbaijan.DuringtheinaugurationceremonyoftheFoundation,AliJannati,theMinisterofCultureandIslamicGuidance,announced that consultation was conducted with prominent academic andculturalmembersofAzerbaijaninordertoestablishtheFoundation.However,whenitcametoselectingapresidentfortheFoundation,membersofAzerbaijan’sculturalcommunityweredisqualified.Instead,theMinisterofCultureandIslamicGuidancehimselfwasselectedtoleadtheFoundation.

Anaj,anAzerbaijaninewswebsite,wassuspiciousoftheFoundationfromitsinception.SkepticismcontinuedtogrowwhentheofficialsrefrainedfromprovidinganydetailedexplanationoftheFoundations’plansandimplementationstrategy.

OthermediaexpertsonAzerbaijanaffairsfurthercriticizedRouhanifordeceivingthepeopleofAzerbaijan,referringtohiscampaignpromisesregardingtheintroductionofeducationintheAzerilanguageandeffortstosaveLakeUrmia.

OnejournalistwhotrackstheimplementationofRouhani’scampaign

ROUHANI AFTER TWO YEARS: PERFORMANCE REPORT 17

INTRODUCTIONFOREIGN POLICY PROMISESECONOMIC PROMISESSOCIAL & CULTURAL POLICY PROMISES

Universal Health Coverage

Re-launch of the National Orchestra and Tehran’s Symphonic Orchestra

Improving of the Status of Teachers

The Removal of Filters on Social Media

Linguistic Rights for Minorities in Iran

Freedom of Expression

Promotion of Gender Rights and Elimination of Gender Inequality

DOMESTIC POLITICS

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promisesinAzerbaijan,arguedtoRouhaniMeterthattheestablishmentoftheFoundationforCulture,LiteratureandArtofAzerbaijanshouldnotbeconsideredasafulfillmentofthecampaignpromise.HearguesthatRouhanipromisedtolaunchtheConservatoryofAzriLanguageandLiterature,whichwasmeanttopromoteandpreservetheAzerilanguageandculture.Heclaimsthat, in contrast, the Foundation is only a research institution without any significantculturalimpact.

WhileLinguisticrightsforminoritiesinIranremainsacontentiousissue,Rouhani Meter concludes that the establishment of the Foundation has not fulfilledvoter’sexpectationsintheAzerbaijanprovince.

Freedom of expression

Duringhispresidentialcampaign,HassanRouhanipromisedtorevivetheAssociationofIranianJournalists,whichwasshutdownbythegovernmentofAhmadinejadinAugust2009.Despiteconsiderablepressurefromlocalandinternational civil society organizations, additional measures have been put in placetofurthertightenthecontrolofauthoritiesoverthemedia.

In contrast, there have been some moves towards greater openness in book publishing.InApril2015,HosseinEntezami,DeputyMinisterofMediatotheMinisterofCultureandIslamicGuidance,announcedthat700-800booksandarticleshaveobtainedpublishingpermission,representinga20%increase.EntezamiclaimsthisisatestamenttoRouhani’scommitmenttoimproveculturalandmediaactivities.

However,thegovernmenthascontinuedtopreventthepublishingofbookswithso-called‘inappropriatecontent’.AliJannati,theMinisterofCultureandIslamicGuidance, has encouraged publishers to apply for pre-publication censorship ontheirownwork.However,alackofconcreteguidelinesforcensorshiphinderedtheMinister’splan.

InFebruary2015,PresidentRouhanistatedthatheisneitherfornoragainsttheremovalofinappropriatecontent.Hesaidthelackofclearguidelinespreventsownersofliteraryworksfrombeingabletosupervisetheirownwork.Hewasalsocriticaloftheprocessofobtainingpublishingpermissionforthereprintofneweditionsofliterarywork.Heclaimedthatifabookhasalreadybeenpublishedandread,itshouldnothavetogothroughthedifficultprocessofobtainingpermissionagain.

Disagreements over the implementation of guidelines and the process of censorshiphavealsomadetheirwayintoIran’sfilmindustry.There-openingoftheHouseofCinemawasapositivesteptowardsfulfillinghiscampaignpromise, but Rouhani has been unable to make further progress in limiting censorshipinIran’sfilmindustry.

ROUHANI AFTER TWO YEARS: PERFORMANCE REPORT 18

INTRODUCTIONFOREIGN POLICY PROMISESECONOMIC PROMISESSOCIAL & CULTURAL POLICY PROMISES

Universal Health Coverage

Re-launch of the National Orchestra and Tehran’s Symphonic Orchestra

Improving of the Status of Teachers

The Removal of Filters on Social Media

Linguistic Rights for Minorities in Iran

Freedom of Expression

Promotion of Gender Rights and Elimination of Gender Inequality

DOMESTIC POLITICS

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“Therearemanydecision-makingorgans,suchastheIslamicConsultativeAssembly(theIranianParliament)thatimpactIran’sfilmindustry.TheMinistryprovedtobeweakagainstthesebodiesandwasunabletoinfluenceorguideanyofthem,”reportsISNANews,theIranianStudents’NewsAgency.

For example, the Ministry has been under tremendous pressure by the ParliamentandIran’shardlinerstopreventthescreeningoffilmsbasedonthecontentiouspresidentialelectionof2009.Inthepasttwoyears,allsuchfilmshavebeenbannedfromscreening.Additionally,inJune2015,theMinistryofCultureandIslamicGuidanceannouncedthatpermissiontoscreenHusseinWhoSaidNo,afilmbyAhmadRezaDarvish,hasbeendenied.TheMinistryclaimedthattheGrandAyatollasandreligiousscholarsrefusedtoapproveitscontentduetoitsreligiousreferences.

The presidential cabinet of Iran has limited power in managing content censorship.Otherpowerfulbranchesofthegovernmentareresponsiblefortheapprovalofcontentforbooks,media,cinema,musicandtheater.Rouhani’sgovernment has openly admitted to the ambiguous guidelines and standards forcontentapproval.However,suchapprovalisultimatelyunderthejurisdictionof other powerful decision-making bodies , namely the Supreme Council of the Cultural Revolution, which operates under the supervision of the Supreme Leader,tomakeconcretechanges.

In considering the above, Rouhani Meter concludes that progress on freedom of expressioninIranhasbeenveryminimal.WhileRouhani’sadministrationdoesnot have primary control over the policies that govern freedom of expression in Iran, Rouhani nevertheless failed to meet his election promise of reviving the AssociationofIranianJournalists.

Promotion of Gender Rights and Elimination of Gender Inequality

DuringthefirstyearofRouhani’sgovernment,stepsweretakentoprovideinsurancecoverageforfemale-headedhouseholds.Theplanhasbeenimplementedindifferentprovinces,namelyinQazvin,and15,000womenarecoveredbytheinsurance.

OnJune2015,Shahin-DokhtMolavari,Iran’sVicePresidentforWomenandFamilyAffairs,announcedthatinsurancecoverageforfemale-headedhouseholdsispartofthegovernment’ssocialandeconomicstrategicplan.She denounced criticism of the status of women in Iran, and claimed that the governmentisdeterminedtoprotectwomen’srightsthroughitspolicies.

Whencomparedtoothercampaignpromises,namelyinforeignpolicy,itappearsthatthegovernmenthasnosignificantplanstofurtherfulfillitssocialandculturalpromises.Minimumeffortsareshowninthefilmindustry,forexample.HoweveritisimportanttoconsiderthatthegovernmenthaslimitedpoweragainstreligiousscholarsandGrandAyatollahs,whohavesignificantauthorityintheimplementationofsocialandculturalrights.

ROUHANI AFTER TWO YEARS: PERFORMANCE REPORT 19

INTRODUCTIONFOREIGN POLICY PROMISESECONOMIC PROMISESSOCIAL & CULTURAL POLICY PROMISES

Universal Health Coverage

Re-launch of the National Orchestra and Tehran’s Symphonic Orchestra

Improving of the Status of Teachers

The Removal of Filters on Social Media

Linguistic Rights for Minorities in Iran

Freedom of Expression

Promotion of Gender Rights and Elimination of Gender Inequality

DOMESTIC POLITICS

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ROUHANI AFTER TWO YEARS: PERFORMANCE REPORT 20

INTRODUCTIONFOREIGN POLICY PROMISESECONOMIC PROMISESSOCIAL & CULTURAL POLICY PROMISES

Universal Health Coverage

Re-launch of the National Orchestra and Tehran’s Symphonic Orchestra

Improving of the Status of Teachers

The Removal of Filters on Social Media

Linguistic Rights for Minorities in Iran

Freedom of Expression

Promotion of Gender Rights and Elimination of Gender Inequality

DOMESTIC POLITICS

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INTRODUCTIONFOREIGN POLICY PROMISESECONOMIC PROMISESSOCIAL & CULTURAL POLICY PROMISESDOMESTIC POLITICS

Release of Political Prisoners

Reopening the Bureau of Political Parties

Elimination of Discrimination Against Ethnic and Religious Minorities

Return of Iranian Expatriates to Iran

Elimination of Gender Discrimination

Charter of Civil Rights

Management

Saving Lake Urmia

Barriers to Fulfilling DomesticPolitical Promises

DOMESTIC POLITICS

EventhoughRouhani’spromisesondomesticpoliticswerecriticaltohiselection,thegovernment’sstrategicimplementationofthesepromiseshasbeenslow.

Release of Political Prisoners

Granting amnesty to opposition leaders of the Green Movement is a crucial campaignpromisethathasgoneunmet.Evenaftertwoyearsofhispresidency,Rouhani has been unable to improve the situation of Mirhossein Mousavi, Mehdi Karoubi and Zahra Rahnavard, all of whom have been under house arrestsinceFebruary2010.

Reopening the Bureau of Political Parties

DuringRouhani’sfirstyearofpresidencynoeffortswereputinplacetoreopentheBureauofPoliticalParties.InMay2015theMinisterofInteriorannouncedthe gathering of members of the Bureau, and agreed that by the end of Ramadanitwouldbegintoformregularmeetings.

TheArticleofAssociationfortheBureauofPoliticalPartiesstatesthattheBureau is a legally independent, non-governmental organization that consists ofrepresentativesofregisteredpoliticalparties.Shortlyafterthe2013election,political activists stressed the importance of revitalizing the activities of political partieswithinIran’sgovernmentstructure.Activistsbelievethatthereopeningof the Bureau, for example, can potentially bring moderate conservatives and reformistsclosertogether,apossibilityreceivingsignificantattentionfromthegovernment.

Elimination of Discrimination Against Ethnic andReligious Minorities

OneofRouhani’smaincampaignpledgeswastheeliminationofdiscriminationagainst ethnic and religious minorities, a message that was well received amongstminoritiesacrossthecountry.OfficialstatisticsshowthatRouhanireceivedasignificantpercentageofhisvotesfromminority-concentratedprovincessuchasSistanandBalouchestanaswellastheKurdistanprovinces.

Prior to the election, Rouhani stressed the importance of implementing the principleofmeritocracyacrossallpoliticallevels.Hestatedthatcitizensfromallethnic backgrounds should be able to take part in all levels of the government, and emphasized that no obstacles should exist for minorities to be selected for governmentjobs,evenforexecutivepositions.

ROUHANI AFTER TWO YEARS: PERFORMANCE REPORT 21

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AfterRouhani’selectionthereweremanydebatesregardingwhowouldbecomedeputyforethnicandminorityrights.Eventually,AliYousefi,theformerMinisterofIntelligenceduringKhatami’spresidency,wasselectedastheSpecialAssistanttoEthnicandReligiousMinorityAffairs.TherewerealsodiscussionsonselectingthefirstSunniMinister.However,thisplanwascanceled,eventhoughitwasapprovedbymembersoftheparliament.

Each province has had a different experience regarding the appointment ofreligiousandethnicminoritiesintopublicoffice.Forexample,basedonRouhaniMeter’sresearch,reformistactivistsofSistanandBalouchestanagreed to appoint minorities in governor positions and a Sunni Balouch asdeputyprovincialgovernor.HoweverinKurdistanprovince,thelackofappointmentsforqualifiedindigenousforcesinkeypositionswascriticizedevenbyreformistactivistsloyaltoRouhani.

Discrepanciesarealsopresentinthepromotionofethniclanguages.InSaghez, a city in Kurdistan, a textbook on teaching the Kurdish language was publishedforthefirsttimebyagroupofpublicschoolteachers.Thebookwas used in one school to test the possibility of teaching Kurdish language in additiontoPersianliterature.TheplantoteachKurdishlanguagehowever,wasonlyconfinedtoafewschools.Accordingtotheinitiatorsoftheplan,thegovernment’sonlyrolewastoapprovethisplan.Thedesign,fundingandimplementationwasdoneentirelybylocalinitiators.TheyaddedthattheMinisterofEducationwasresponsiblefortheapprovaloftheofficialpublishinganddistributionofthebookamongstKurdishstudents.Thisisaconsiderabledevelopment in government policy: publishing books that promote the language andcultureofethnicminoritiesisnottypicallyapproved.

The initiators told Rouhani Meter that even though local teachers and students welcomed this plan, teaching the Kurdish language has not become a mandatorysubjectacrossschoolsintheprovince.AccordingtoArticle15ofthe constitution, ethnic minorities have a right to teach their language in public schools, but in the past, systemic discrimination in the government made implementationofsuchprogramsdifficultorimpossible.Itappearsthatinthelast two years, the government has not been engaged to further implement projectsthatsupportArticle15oftheconstitution,oneofRouhani’selectionpromises,

OnDecember2014,membersoftheeditorialboardofHezarGhalamjournal,anAzerbaijanimagazinethatspecializesinminoritylanguageliterature,announcedinanopenlettertothePresidentthatinprotesttothegovernment’spoorrecordimplementingArticle15,thejournalwouldceasetheirpressactivities.

InFebruary2015,inanopenlettertoPresidentRouhani,morethan1800studentsfromAzerbaijanencouragedthepresidenttorefrainfromtreating

ROUHANI AFTER TWO YEARS: PERFORMANCE REPORT 22

INTRODUCTIONFOREIGN POLICY PROMISESECONOMIC PROMISESSOCIAL & CULTURAL POLICY PROMISESDOMESTIC POLITICS

Release of Political Prisoners

Reopening the Bureau of Political Parties

Elimination of Discrimination Against Ethnic and Religious Minorities

Return of Iranian Expatriates to Iran

Elimination of Gender Discrimination

Charter of Civil Rights

Management

Saving Lake Urmia

Barriers to Fulfilling DomesticPolitical Promises

Page 25: ROUHANI AFTER TWO YEARS...for tangible results. This report is divided into four categories: foreign policy, economic policy, social and cultural policy, and domestic policy, covering

ethnicminoritiesasasecurityissue.TheIraniangovernmenthashistoricallyperceivedethnicminoritiesasasecuritythreatduetoseparatistactivities.ThestudentsdemandedthatthegovernmentfulfillitspromisetoteachingethnicminoritylanguagesinschoolsandtorecognizeTurkish(Azeri)languageasanofficialnationallanguage.TheyalsostressedtheimportanceofestablishingtheAcademyofTurkishLanguageandLiterature.

InJuly2015newspapersacrossthecountryreportedthattheUniversityofKurdistaninSanandajwouldaccept40studentsinaBachelorsprogramforKurdishLanguageLiterature.PresidentRouhanireaffirmedthenewsduringhis visit to Kurdistan and announced it as part of his campaign promise to thepeopleofKurdistan.PoliticalactivistsinKurdistanremainskepticaloftheplan, as a similar initiative was launched under President Khatami, but never materialized.

Additionally,thepasttwoyearsshownosignificantimprovementinthesituationofSunniminorities.WhiletheconstitutionrecognizesSunniminorities,effortstoprotecttheirrightshavefacedobstacles.DuringtheEid-Al-Fetrprayer,MoulaviAbdollah,aprominentSunnifigureinSistanandBalouchestan,blamedShiaconservativesforRouhani’sfailuretodeliveronhiscampaignpromises.ThisreportwasdeliveredonSunniOnline,anofficialFacebookpageforSunnisofIran.SunniOnline,andMoulavi’spersonalFacebookpagearetheonlynewsplatformsthatbelongtoSunniminoritiesacrossIran.

2015sawthedemolitionoftheonlyprayerroominTehranavailableforusebySunniminorities.Inpreviousyears,thisprayerroomwasshutdownmanytimesduringSunnicelebrations.RecenthostilitieshavebeenopenlycondemnedbyprominentSunnimembersofKurdistan,SistanandBalouchestan.Theyare concerned with the absence of Sunni mosques across major cities, which restrictsSunniminoritiesfromorganizingFridayprayerandEidcelebrations.

Return of Iranian expatriates to Iran

OneofRouhani’scampaignpromisesthatreceivedglobalattentionwasthereturnofIranianexpatriatestotheircountryoforigin.DuringacampaigntriptoKurdistan province, Rouhani said that as president he would facilitate the return ofIranianswhohavebeenlivingabroad.Todatetherehasbeennoefforttofulfillthispromise.

Furthermore, those with a history of political activism who did return to Iran wereoftendetainedupontheirarrivalorgivenawarning.EsmailGeramiMoghadam, adviser to Mehdi Karoubi and the spokesperson of National Trust Party,returnedtoIranshortlyafterthenuclearagreementwasreached.Hewasimmediatelyarrestedattheairport.Othersactivists,includingHosseinNouraniNejad,KazemBarjesteh,SajedehArabsorkhiandSarajMirrdamani,weredetainedorreceivedawarningupontheirreturn.

ROUHANI AFTER TWO YEARS: PERFORMANCE REPORT 23

INTRODUCTIONFOREIGN POLICY PROMISESECONOMIC PROMISESSOCIAL & CULTURAL POLICY PROMISESDOMESTIC POLITICS

Release of Political Prisoners

Reopening the Bureau of Political Parties

Elimination of Discrimination Against Ethnic and Religious Minorities

Return of Iranian Expatriates to Iran

Elimination of Gender Discrimination

Charter of Civil Rights

Management

Saving Lake Urmia

Barriers to Fulfilling DomesticPolitical Promises

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Elimination of Gender Discrimination

Therehavebeennoeffortstoeliminategenderinequalityacrossthecountry.

Priortohiselection,HassanRouhaniannouncedthatwomenshouldbeallowedintothepresidentialcabinet.HealsopromisedtoestablishMinistryforWomen’sAffairs.Noneofthepromiseshavebeenfulfilled.InsteadofestablishingaMinistryforWomen’sAffairs,RouhaniappointedShahin-DokhtMolaiasDeputyMinisterforTheMinistryofWomenandFamilyAffairs.Also,nowomenhavebeenabletoenterthepresidentialcabinet.Also,despiteinternational pressures, religion reasons are used to ban women from entering sportsstadiums.

OnMay2015,DeputyMinisterShahind-DokhtMolaiofficiallydenouncedRouhani’spromisetoestablishaMinistryforWomen’sAffairs.Sheclaimedthatby establishing a Ministry for such affairs, they would take away responsibility fromotherMinistriestoeliminategenderdiscrimination.

Thegovernment’sneglectofwomen’srightswasopenlydiscussedinSharghnewspaper.OnApril2015,Sharghreportedongenderdiscriminationontherecruitment exam for the Management and Planning Organization and National OrganizationforEducationalTesting.Allegedly,froma2800employmentquota,2284(82%)wereassignedtomen,500(5.2%)weresharedbetweenmenandwomenand16quotas(lessthan1%)wasassignedtowomen. Charter of Civil Rights

Rouhani promised during the election to draft a Charter of Civil Rights, and draftingbeganduringthefirstfewmonthsofhispresidency.Thefirstdraftwascirculatedamongstscholarsandthinkersforfeedback.ThefinaldraftissupposedtobesenttotheParliamentforapproval.

ElhamAminzadeh,VicePresidentforLegalAffairspredictedthreepossibilitiesforthedraftingandimplementationofCharterofCivilRights.OnepossibilitywouldbetoreleaseandpublishtheCharterasastatement.Thesecondpossibility is for the Charter to adopted by the administration as a non-binding measure.Thefinalpossibility,basedonRouhani’spromise,isfortheCharterto be submitted to the Parliament and made binding upon all government institutions.ThethirdscenarioistheonlyoneinwhichtheChartercouldrealisticallybeenforced.

InMay2015,EmadeldinBaghi,aprominentjournalistandahumanrightsactivist, said that proposed Charter of Civil Rights provided great hope among activists.HoweverskepticismremainsgiventhelackofinformationonitsdevelopmentsorwhenitmightbepresentedtotheParliament.HearguedthatRouhani’spromisewillnotbemetuntiltheCharterispublishedandapproved.

ROUHANI AFTER TWO YEARS: PERFORMANCE REPORT 24

INTRODUCTIONFOREIGN POLICY PROMISESECONOMIC PROMISESSOCIAL & CULTURAL POLICY PROMISESDOMESTIC POLITICS

Release of Political Prisoners

Reopening the Bureau of Political Parties

Elimination of Discrimination Against Ethnic and Religious Minorities

Return of Iranian Expatriates to Iran

Elimination of Gender Discrimination

Charter of Civil Rights

Management

Saving Lake Urmia

Barriers to Fulfilling DomesticPolitical Promises

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Management

Rouhani’sdomesticpromisesincludedtherestorationoftheManagementandPlanning Organization, which addresses professional mobility, the prevention ofunstablemanagement,andprovidingaccuratestatistics.RouhanirestoredManagementandPlanningduringhisfirstyearaspresident,eightyearsafteritsliquidation.

DespiteconflictsbetweentheCentralBankandtheStatisticalCenterofIran,statisticsprovidedbyRouhani’sgovernmentaregenerallyperceivedtobereliable.Forexample,RouhaniMeterresearchshowsthatstatisticsreleasedbythegovernmentontheapprovalrateofthepresidentisaccurate.

Rouhani also promised that the Ministry of Intelligence would be more responsivetomonitoringbodiesandthepeople.TheRouhanigovernmentlacks power to restrain or discipline security institutions, and is often not authorizedtohaveavoiceonthestructureofsuchbodies.Sofar,theMinistryof Intelligence has not been as responsive to the people as Rouhani had promised.ManyfamiliesofpoliticalprisonershavesentletterstotheMinistrydemandingforfairandjusttrials.NonehavereceivedcommentorresponsefromtheMinistry.

Rouhani’sgovernmenthasshownsignificantinterestinprovidinganenvironmentforpeopletoopenlycriticizethegovernment.Duringhisfirstyearofpresidency,RouhaniassignedhisVicePresidentforLegalAffairs,ElhamAminzadehandhisadvisor,MohammadrezaSadegh,toreviewandaddresscomplaintsandcriticismperceivedinthemedia.Duringhissecondyear,Rouhani encouraged university students to critique the government on a wide spectrumofissuesincludingnuclearmatters.

Saving Lake Urmia

LakeUrmia,Iran’slargestlakeandthesecondlargestsalt-waterlakeintheworld,hasshrunkbynearly90%sincethe1970sduetomismanagement.Saving Urmia was an important campaign promise, and Rouhani created a workinggroupinhisfirstcabinetmeetingtodevelopaplantosavethisnationalasset.

OnMay2015,HadiBahadori,DeputyGovernorforDevelopmentinWesternAzerbaijan,announcedthateventhoughcontinuousrainacrosstheregionhaseasedLakeUrmia’scriticalsituation,thelakeremainsendangered.

Forthepasttwoyears,thesituationofthelakehasdeteriorated.AminNourbakhsh, one of the members of the committee for saving Lake Urmia, has warned of the detrimental impact of the drying of the Lake on the livelihood

ROUHANI AFTER TWO YEARS: PERFORMANCE REPORT 25

INTRODUCTIONFOREIGN POLICY PROMISESECONOMIC PROMISESSOCIAL & CULTURAL POLICY PROMISESDOMESTIC POLITICS

Release of Political Prisoners

Reopening the Bureau of Political Parties

Elimination of Discrimination Against Ethnic and Religious Minorities

Return of Iranian Expatriates to Iran

Elimination of Gender Discrimination

Charter of Civil Rights

Management

Saving Lake Urmia

Barriers to Fulfilling DomesticPolitical Promises

Page 28: ROUHANI AFTER TWO YEARS...for tangible results. This report is divided into four categories: foreign policy, economic policy, social and cultural policy, and domestic policy, covering

ofmillionsofresidents.Heclaimedthat7millionpeoplehavebeenforcedtomigratefromtheregionduetosaltstorms,desertificationanddevelopmentofdunes.

Protests against environmental degradation, including the drying of Lake Urmia, haveledtothearrestofmanysocialandenvironmentalactivists.Inthepasttwo years, such protests and gatherings have continued to be restricted and condemnbythegovernment.

Untilnow,nosignificantplanhasbeenrevealedtoaddressLakeUrmia’scriticalsituation.MohammadSadeghpourMahdi,DeputyGovernorforDevelopmentinEasternAzerbaijan,saidin2015thatthegovernmenthasallocatedover$100,000tosaveLakeUrmia,providingarayofhopethatrequiresarobustfollowup.

Barriers to Fulfilling Domestic Political Promises

Inthepasttwoyears,HassanRouhani’sdedicationtodomesticpoliticshasgradually decreased, especially in comparison to foreign policy, which has occupiedasignificantamountofhisattentionandresources.

It is important to note that during the selection process of his cabinet, Rouhani was involved in a political battle between different factions of government which forcedhimtoallocatemanyministriestohisopponents,theHardlinersandConservatives.ThispresentedaconstantbarriertoRouhanirealizingmanyofhispromisesingovernment.IntheIslamicRepublic,theplanningofdomesticpoliticsareoftenoutsidegovernment’sauthority.Howeverhistoryshowsthatifagovernmentisdeterminedtomakeadifferenceinthisfield,itcaneventuallydoso.

ROUHANI AFTER TWO YEARS: PERFORMANCE REPORT 26

INTRODUCTIONFOREIGN POLICY PROMISESECONOMIC PROMISESSOCIAL & CULTURAL POLICY PROMISESDOMESTIC POLITICS

Release of Political Prisoners

Reopening the Bureau of Political Parties

Elimination of Discrimination Against Ethnic and Religious Minorities

Return of Iranian Expatriates to Iran

Elimination of Gender Discrimination

Charter of Civil Rights

Management

Saving Lake Urmia

Barriers to Fulfilling DomesticPolitical Promises

Page 29: ROUHANI AFTER TWO YEARS...for tangible results. This report is divided into four categories: foreign policy, economic policy, social and cultural policy, and domestic policy, covering

ROUHANI AFTER TWO YEARS: PERFORMANCE REPORT 27

INTRODUCTIONFOREIGN POLICY PROMISESECONOMIC PROMISESSOCIAL & CULTURAL POLICY PROMISESDOMESTIC POLITICS

Release of Political Prisoners

Reopening the Bureau of Political Parties

Elimination of Discrimination Against Ethnic and Religious Minorities

Return of Iranian Expatriates to Iran

Elimination of Gender Discrimination

Charter of Civil Rights

Management

Saving Lake Urmia

Barriers to Fulfilling DomesticPolitical Promises