General background: Known as Persia until 1935,
Iran became an Islamic republic in 1979 after the ruling
shah was forced into exile. Conservative clerical forces
subsequently crushed westernizing liberal elements.
Militant Iranian students seized the US Embassy in Tehran
on 4 November 1979 and held it until 20 January 1981.
During 1980-88, Iran fought a bloody, indecisive war
with Iraq over disputed territory. Key current issues
affecting the country include the pace of accepting
outside modernizing influences and reconciliation between
clerical control of the regime and popular government
participation and widespread demands for reform.
Area comparative: Slightly larger than Alaska
Climate: Mostly arid or semiarid, subtropical
along Caspian coast
Terrain: Rugged,
mountainous rim; high, central basin with deserts, mountains;
small, discontinuous plains along both coasts
Population: 66,622,704 (July 2002 est.)
Ethnic groups: Persian 51%, Azeri 24%, Gilaki
and Mazandarani 8%, Kurd 7%, Arab 3%, Lur 2%, Baloch
2%, Turkmen 2%, other 1%
Religions: Shi'a Muslim 89%, Sunni Muslim
10%, Zoroastrian, Jewish, Christian, and Baha'i 1%
Language: Persian and Persian dialects 58%,
Turkic and Turkic dialects 26%, Kurdish 9%, Luri 2%,
Balochi 1%, Arabic 1%, Turkish 1%, other 2%
Government type: Theocratic republic
Capital: Tehran
Legal system: The Constitution codifies Islamic
principles of government
Economic overview: Iran's economy is a mixture
of central planning, state ownership of oil and other
large enterprises, village agriculture, and small-scale
private trading and service ventures. President KHATAMI
has continued to follow the market reform plans of
former President RAFSANJANI and has indicated that
he will pursue diversification of Iran's oil-reliant
economy although he has made little progress toward
that goal. The strong oil market in 1996 helped ease
financial pressures on Iran and allowed for Tehran's
timely debt service payments. Iran's financial situation
tightened in 1997 and deteriorated further in 1998
because of lower oil prices. The subsequent rise in
oil prices in 1999-2000 afforded Iran fiscal breathing
room but does not solve Iran's structural economic
problems, including the encouragement of foreign investment
Communication/Telephone system: Inadequate but currently
being modernized and expanded with the goal of not
only improving the efficiency and increasing the volume
of the urban service but also bringing telephone service
to several thousand villages, not presently connected.
Places of interest:
Travel tips: Iran is considered safe and secure
for travelers, although it's best to keep abreast
of world events that might have repercussions in Iran
and to avoid political demonstrations and gatherings
wherever possible.
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