A senior official has acknowledged that Iran's plans to assume a leading role in the region by 2025 have fallen flat, blaming sanctions and ignoring impacts of nuclear issues.

Mohammad Sadr, a member of Iran's Expediency Council, made the remarks in reference to Iran's ambitious long-term development plan encapsulated in the Twenty-Year Vision Document of Iran, in place since 2005. 

Initiated on the recommendations of the Expediency Council, an advisory board for the Supreme Leader which also settles disputes between Iran's parliament and Guardian Council over legislation, 2025 was meant to be the culmination of the grand plan.

However, Sadr said: “The realization that robust economic growth is imperative for establishing a stronger international presence has prompted these nations to actively seek foreign investments and attract foreign capital, leading to ongoing advancements in their economic landscapes.”

Heavily sanctioned for years, foreign direct investment (FDI) in Iran has been a major hindrance. Meanwhile, the United Arab Emirates, with a population of just 10 million, has dwarfed Iran to be MENA's top FDI nation.

According to the World Investment Report 2023 issued by the United Nations Conference on Trade and Development, the value of foreign direct investment inflows to the UAE in 2022 amounted to $22.737 billion, ranking 16th globally in FDI inflows in 2022. It was also ranked top in the West Asia region.

Sadr attributed Iran's failings on sanctions, saying that “countries eager to engage with Iran encounter impediments in expanding their relations due to concerns regarding potential sanctions-related repercussions, thereby impeding the development of these relationships.”