fbpx
Wikipedia

Bonyad

April 12, 2024

For the village in Iran, see Bonyad, Iran.

Bonyads (Persian: بنیاد "Foundation") are charitable trusts in Iran that play a major role in Iran's economy. They control an estimated 20% of Iran's GDP,[1] and are second only to the oil industry in manufacturing, trading, and real estate development in Iran.[2] As of 2010, the largest bonyad is the Mostazafan Foundation, worth approximately $10 billion. In addition to large national bonyads like the Mostazafan Foundation, there are numerous bonyads affiliated with local clerics in "almost every" Iranian town.[3] All are answerable only to the Supreme Leader of Iran. As of 2008, bonyads employ somewhere between 400,000[4] and 5 million Iranians.[5]

Technically religious charitable organizations, they have evolved into "giant private monopolies with no governmental oversight",[6] and are now described as channeling revenues to groups supporting the Islamic Republic,[7] while providing limited and inadequate charity to the poor.[2] Exempt from taxes and benefiting from "huge subsidies from government," they have been called "bloated,"[2] and "a major weakness of Iran's economy,"[5] that siphons off production to the lucrative black market.[2]

Background edit

Monarchy edit

See also: Economic history of Iran

Founded as royal foundations by Shah Mohammad Reza Pahlavi, the original bonyads were criticized for providing a "smokescreen of charity" to patronage, economic control, for-profit wheeling and dealing done with the goal of "keep[ing] the Shah in Power."[8] Resembling more a secretive conglomerate than a charitable trust, these bonyads invested heavily in property development, such as the Kish Island resort; but the developments' housing and retail was oriented to the middle and upper classes, rather than the poor and needy.[9]

Islamic Republic edit

See also: Economy of Iran

After the 1979 Iranian revolution, the Bonyads were nationalized and renamed with the declared intention of redistributing income to the poor and families of martyrs, i.e. those killed in the service of the country. The assets of many Iranians whose ideas or social positions ran contrary to the new Islamic government were also confiscated and given to the Bonyads without any compensation.

Today, there are over 100 Bonyads,[10] and they are criticized for many of the same reasons as their predecessors. They form tax-exempt, government subsidized, consortiums receiving religious donations and answerable directly (and only) to the Supreme Leader of Iran. The Bonyads are involved in everything from vast soybean and cotton fields to hotels to soft drinks to auto-manufacturing to shipping lines. The most prominent, the Bonyad-e Mostazafen va Janbazan, (Foundation for the Oppressed and Disabled), for example, "controls 20% of the country's production of textiles, 40% of soft drinks, two-thirds of all glass products and a dominant share also in tiles, chemicals, tires, foodstuffs."[11] Some economists argue that its chair, and not the Minister of Finance or president of the Central bank, is considered the most powerful economic post in Iran.[12] In addition to the very large national Bonyads, "almost every Iranian town has its own bonyad," affiliated with local clerics.[3]

Estimates of how many people the bonyads employ ranges from in excess of 400,000[13] to "as many as 5 million."[5]

Bonyads also play a crucial role in the spread of Iranian influence through extensive transnational and international activities, including philanthropy and commerce as soft power as well as providing hard power support.[14]

Criticism edit

See also: Government of Iran and Social class in Iran

Bonyads are criticized as an enormously wasteful use of Iran's resources: overstaffed,[15] corrupt, and generally unprofitable. In 1999 Mohammad Forouzandeh, a former defense minister, reported that 80% of Iran's Bonyad companies were losing money.[15]

Iran's unprotected private sector has difficulty competing with Bonyad companies, whose political connections provide government permits and subsidies which eliminate worries over the need to make a profit in many market sectors. Thus Bonyads, by their very presence, hamper healthy economic competition, efficient use of capital and other resources, and growth.[10]

Unification of Iran's social security system edit

See also: Ministry of Welfare and Social Security (Iran), Social Security Organization (Iran), and Iranian Economic Reform Plan

As charity organizations they are supposed to provide social services to the poor and the needy; however, bonyads do not fall under Iran's General Accounting Law and, consequently, are not subject to financial audits.[16] Unaccountable to the Central Bank governor, the bonyads "jealously guard their books from prying eyes."[17] With this lack of information for over 100 bonyads operating independently, "the government doesn't know what, why, how and to whom this help and assistance is given." Lack of proper oversight and control of these foundations has also hampered the government's efforts in creating a comprehensive, central and unified social security system in the country, undertaken since 2003.[10][18] Iran has 12 million people living below the poverty line, six million of whom are not supported by any foundation or organization.[19]

So as to clearly distinguish its activities from the formal Social Security Organization (SSO), bonyads would have to be in charge of vocational training centers, rehabilitation centers, socioeconomic centers, all drug-related rehabilitation centers, cooperative banking (while financing these activities with the bonyads large commercial holdings, which then could be privatized). The SSO, on the other hand, could have sole responsibility for unemployment-insurance, professional-rehabilitation/training costs, retirement-pensions, disability funds, etc.[citation needed]

Rather than charitable organizations, the bonyads have been described as "patronage-oriented holding companies that ensure the channeling of revenues to groups and milieus supporting the regime," but don't help the poor as a class.[7] Another complaint describes them as having kept to their charitable mission for the first decade of the Islamic Republic, but having "increasingly forsaken their social welfare functions for straightforward commercial activities" since the death of the revolution's founder Ruhollah Khomeini.[3] Local city and town bonyad have been accused of sometimes using extortionate techniques to draw the traditional Shia Islamic 20% khums donations from local business owners.[3]

List of major bonyads edit

See also: Economic activities of the Guardians of the Islamic Revolution

See also edit

References edit

  1. ^ Molavi, Afshin, Soul of Iran, Norton, (2006), p.176
  2. ^ a b c d Mackey, Sandra Iranians, Persia, Islam, and the soul of a nation, New York: Dutton, c1996 (p.370)
  3. ^ a b c d Millionaire mullahs by Paul Klebnikov, July 7, 2003, The Iranian Originally printed in Forbes, accessed 15-May-2009
  4. ^ Abrahamian, Ervand, History of Modern Iran, Columbia University Press, 2008, p.178
  5. ^ a b c Katzman, Kenneth. Iran's Bonyads: Economic Strengths and Weaknesses. 6 Aug 2006 2008-10-25 at the Wayback Machine accessed 15-May-2009
  6. ^ Saeidi, Ali A. (29 January 2009). "Iranian Para-governmental Organizations (bonyads)". MEI.edu. Middle East Institute. Retrieved 25 October 2023.
  7. ^ a b Roy, Olivier, The Failure of Political Islam by Olivier Roy, translated by Carol Volk, Harvard University Press, 1994, p.139
  8. ^ Graham, Robert, Iran: The Illusion of Power, St. Martin's Press, 1980, p.157, 8
  9. ^ Graham, Iran, (1980), p.161
  10. ^ a b c . Archived from the original on 2017-10-10. Retrieved 2007-01-25.
  11. ^ NHH Sam 2007, Destructive Competition [permanent dead link]
  12. ^ Molavi, Afshin, The Soul of Iran, Norton, (2005), p.176
  13. ^ Abrahamian, Ervand, History of Modern Iran, Columbia University Press, 2008, p.178
  14. ^ Jenkins, WB, Bonyads as Agents and Vehicles of the Islamic Republic's Soft Power in Iran in the World: President Rouhani's Foreign Policy, eds. Akbarzadeh, S. & Conduit, D., Palgrave Macmillan, 2016, pp.155-176
  15. ^ a b "Business: A mess; Iranian privatisation", The Economist. London: Jul 21, 2001. Vol. 360, Iss. 8231; pg. 51
  16. ^ Organization fpc.state.gov [dead link]
  17. ^ Molavi, Soul of Iran, (2005) p.176
  18. ^ World bank: country brief
  19. ^ Tehran Times - Poverty in Iran [dead link]
  20. ^ a b . Forbes. 2003-07-21. Archived from the original on March 20, 2005. Retrieved 2014-03-13.
  21. ^ "U.S. Sanctions Foundations Controlled by Supreme Leader". USIP. Iran Primer. 13 January 2021. Retrieved 25 October 2023.

Further reading edit

  • by the Central Bank of Iran, including statistics about social security in Iran.
  • "A mess." The Economist, July 19, 2001.
  • "Stunted and Distorted." The Economist, January 16, 2003.
  • "Still fading, still defiant." The Economist, December 9, 2004.
  • "Inside Iran's Holy Money Machine." Wall Street Journal, June 2, 2007. Details about the Imam Reza shrine, the largest active bonyad in Iran.
  • "Bonyad-e Mostazafen va Janbazan, (Foundation for the Oppressed and Disabled)" globalsecurity.org
  • World Bank Statistics Human development, social and economic indicators for Iran
  • Iran's Ministry of Welfare and Social Security policies still based on charity 2017-02-15 at the Wayback Machine
  • Iran Para-governmental Organizations (bonyads) 2016-03-03 at the Wayback Machine By Ali A. Saeidi (Source: The Middle East Institute)
  • Poverty and Inequality since the Revolution 2017-11-20 at the Wayback Machine By Djavad Salehi-Isfahani (Source: The Middle East Institute)
  • . Katzman, Kenneth (2006)

External links edit

  • Bonyad Shahid va Isaar-Garaan (Foundation of the Martyrs and the Affairs of Self-Sacrificers)
  • Bonyad Shahid va Omur-e Janbazan (Foundation of Martyrs and Veteran Affairs)
  • Bonyad Panzdah Khordad (Foundation of the 15 Khordad)
  • Astan Quds Razavi (Imam Reza Shrine Foundation) 2008-03-03 at the Wayback Machine

April 12, 2024
bonyad, village, iran, iran, persian, بنیاد, foundation, charitable, trusts, iran, that, play, major, role, iran, economy, they, control, estimated, iran, second, only, industry, manufacturing, trading, real, estate, development, iran, 2010, largest, bonyad, m. For the village in Iran see Bonyad Iran Bonyads Persian بنیاد Foundation are charitable trusts in Iran that play a major role in Iran s economy They control an estimated 20 of Iran s GDP 1 and are second only to the oil industry in manufacturing trading and real estate development in Iran 2 As of 2010 the largest bonyad is the Mostazafan Foundation worth approximately 10 billion In addition to large national bonyads like the Mostazafan Foundation there are numerous bonyads affiliated with local clerics in almost every Iranian town 3 All are answerable only to the Supreme Leader of Iran As of 2008 bonyads employ somewhere between 400 000 4 and 5 million Iranians 5 Technically religious charitable organizations they have evolved into giant private monopolies with no governmental oversight 6 and are now described as channeling revenues to groups supporting the Islamic Republic 7 while providing limited and inadequate charity to the poor 2 Exempt from taxes and benefiting from huge subsidies from government they have been called bloated 2 and a major weakness of Iran s economy 5 that siphons off production to the lucrative black market 2 Contents 1 Background 1 1 Monarchy 1 2 Islamic Republic 2 Criticism 2 1 Unification of Iran s social security system 3 List of major bonyads 4 See also 5 References 6 Further reading 7 External linksBackground editMonarchy edit See also Economic history of Iran Founded as royal foundations by Shah Mohammad Reza Pahlavi the original bonyads were criticized for providing a smokescreen of charity to patronage economic control for profit wheeling and dealing done with the goal of keep ing the Shah in Power 8 Resembling more a secretive conglomerate than a charitable trust these bonyads invested heavily in property development such as the Kish Island resort but the developments housing and retail was oriented to the middle and upper classes rather than the poor and needy 9 Islamic Republic edit See also Economy of Iran After the 1979 Iranian revolution the Bonyads were nationalized and renamed with the declared intention of redistributing income to the poor and families of martyrs i e those killed in the service of the country The assets of many Iranians whose ideas or social positions ran contrary to the new Islamic government were also confiscated and given to the Bonyads without any compensation Today there are over 100 Bonyads 10 and they are criticized for many of the same reasons as their predecessors They form tax exempt government subsidized consortiums receiving religious donations and answerable directly and only to the Supreme Leader of Iran The Bonyads are involved in everything from vast soybean and cotton fields to hotels to soft drinks to auto manufacturing to shipping lines The most prominent the Bonyad e Mostazafen va Janbazan Foundation for the Oppressed and Disabled for example controls 20 of the country s production of textiles 40 of soft drinks two thirds of all glass products and a dominant share also in tiles chemicals tires foodstuffs 11 Some economists argue that its chair and not the Minister of Finance or president of the Central bank is considered the most powerful economic post in Iran 12 In addition to the very large national Bonyads almost every Iranian town has its own bonyad affiliated with local clerics 3 Estimates of how many people the bonyads employ ranges from in excess of 400 000 13 to as many as 5 million 5 Bonyads also play a crucial role in the spread of Iranian influence through extensive transnational and international activities including philanthropy and commerce as soft power as well as providing hard power support 14 Criticism editSee also Government of Iran and Social class in Iran Bonyads are criticized as an enormously wasteful use of Iran s resources overstaffed 15 corrupt and generally unprofitable In 1999 Mohammad Forouzandeh a former defense minister reported that 80 of Iran s Bonyad companies were losing money 15 Iran s unprotected private sector has difficulty competing with Bonyad companies whose political connections provide government permits and subsidies which eliminate worries over the need to make a profit in many market sectors Thus Bonyads by their very presence hamper healthy economic competition efficient use of capital and other resources and growth 10 Unification of Iran s social security system edit See also Ministry of Welfare and Social Security Iran Social Security Organization Iran and Iranian Economic Reform Plan As charity organizations they are supposed to provide social services to the poor and the needy however bonyads do not fall under Iran s General Accounting Law and consequently are not subject to financial audits 16 Unaccountable to the Central Bank governor the bonyads jealously guard their books from prying eyes 17 With this lack of information for over 100 bonyads operating independently the government doesn t know what why how and to whom this help and assistance is given Lack of proper oversight and control of these foundations has also hampered the government s efforts in creating a comprehensive central and unified social security system in the country undertaken since 2003 10 18 Iran has 12 million people living below the poverty line six million of whom are not supported by any foundation or organization 19 So as to clearly distinguish its activities from the formal Social Security Organization SSO bonyads would have to be in charge of vocational training centers rehabilitation centers socioeconomic centers all drug related rehabilitation centers cooperative banking while financing these activities with the bonyads large commercial holdings which then could be privatized The SSO on the other hand could have sole responsibility for unemployment insurance professional rehabilitation training costs retirement pensions disability funds etc citation needed Rather than charitable organizations the bonyads have been described as patronage oriented holding companies that ensure the channeling of revenues to groups and milieus supporting the regime but don t help the poor as a class 7 Another complaint describes them as having kept to their charitable mission for the first decade of the Islamic Republic but having increasingly forsaken their social welfare functions for straightforward commercial activities since the death of the revolution s founder Ruhollah Khomeini 3 Local city and town bonyad have been accused of sometimes using extortionate techniques to draw the traditional Shia Islamic 20 khums donations from local business owners 3 List of major bonyads editSee also Economic activities of the Guardians of the Islamic Revolution Mostazafen Foundation of Islamic Revolution one of the largest welfare organizations is a semi public foundation founded in 1979 with the assets of the last Shah s family It operates a wide variety of charitable activities with a reported 10 billion in assets 2003 20 Astan Quds Razavi Imam Reza shrine Foundation with 15 billion in assets 2003 20 NAJA Cooperation Bonyad IRGC Cooperation Bonyad Bonyad Shahid va Omur e Janbazan Foundation of Martyrs and Veteran Affairs one of the biggest with over 100 companies Provides welfare assistance to families of the Martyrs of the Iran Iraq War Pilgrimage Foundation Housing Foundation Imam Khomeini Relief Committee provides sickness maternity and work injury benefits to some workers in the private sector Bonyad e Barekat Barakat Foundation Execution of Imam Khomeini s Order Setad has a stake in nearly every sector of the Iranian economy including energy telecommunications and financial services It adds to its wealth by confiscating land and property from opponents of the regime including political opponents religious minorities and exiled Iranians 21 Barakat Foundation is a subsidiary of Setad See also edit nbsp Iran portalAgriculture in Iran Banking in Iran Economy of Iran Energy in Iran Healthcare in Iran International rankings of Iran Iranian labor law List of Iranian companies Mining in Iran Privatization in Iran Smuggling in Iran Taxation in Iran Tourism in Iran Transport in IranReferences edit Molavi Afshin Soul of Iran Norton 2006 p 176 a b c d Mackey Sandra Iranians Persia Islam and the soul of a nation New York Dutton c1996 p 370 a b c d Millionaire mullahs by Paul Klebnikov July 7 2003 The Iranian Originally printed in Forbes accessed 15 May 2009 Abrahamian Ervand History of Modern Iran Columbia University Press 2008 p 178 a b c Katzman Kenneth Iran s Bonyads Economic Strengths and Weaknesses 6 Aug 2006 Archived 2008 10 25 at the Wayback Machine accessed 15 May 2009 Saeidi Ali A 29 January 2009 Iranian Para governmental Organizations bonyads MEI edu Middle East Institute Retrieved 25 October 2023 a b Roy Olivier The Failure of Political Islam by Olivier Roy translated by Carol Volk Harvard University Press 1994 p 139 Graham Robert Iran The Illusion of Power St Martin s Press 1980 p 157 8 Graham Iran 1980 p 161 a b c Ahmadinejad s Achilles Heel The Iranian Economy by Dr Abbas Bakhtiar Archived from the original on 2017 10 10 Retrieved 2007 01 25 NHH Sam 2007 Destructive Competition permanent dead link Molavi Afshin The Soul of Iran Norton 2005 p 176 Abrahamian Ervand History of Modern Iran Columbia University Press 2008 p 178 Jenkins WB Bonyads as Agents and Vehicles of the Islamic Republic s Soft Power in Iran in the World President Rouhani s Foreign Policy eds Akbarzadeh S amp Conduit D Palgrave Macmillan 2016 pp 155 176 a b Business A mess Iranian privatisation The Economist London Jul 21 2001 Vol 360 Iss 8231 pg 51 Organization fpc state gov dead link Molavi Soul of Iran 2005 p 176 World bank country brief Tehran Times Poverty in Iran dead link a b Millionaire Mullahs Forbes 2003 07 21 Archived from the original on March 20 2005 Retrieved 2014 03 13 U S Sanctions Foundations Controlled by Supreme Leader USIP Iran Primer 13 January 2021 Retrieved 25 October 2023 Further reading editAnnual Review by the Central Bank of Iran including statistics about social security in Iran A mess The Economist July 19 2001 Stunted and Distorted The Economist January 16 2003 Still fading still defiant The Economist December 9 2004 Inside Iran s Holy Money Machine Wall Street Journal June 2 2007 Details about the Imam Reza shrine the largest active bonyad in Iran Bonyad e Mostazafen va Janbazan Foundation for the Oppressed and Disabled globalsecurity org World Bank Statistics Human development social and economic indicators for Iran Iran s Ministry of Welfare and Social Security policies still based on charity Archived 2017 02 15 at the Wayback Machine Iran Para governmental Organizations bonyads Archived 2016 03 03 at the Wayback Machine By Ali A Saeidi Source The Middle East Institute Poverty and Inequality since the Revolution Archived 2017 11 20 at the Wayback Machine By Djavad Salehi Isfahani Source The Middle East Institute Iran s Bonyads Economic Strengths and Weaknesses Katzman Kenneth 2006 External links editImam Khomeiny Relief Foundation Bonyad Shahid va Isaar Garaan Foundation of the Martyrs and the Affairs of Self Sacrificers Bonyad Shahid va Omur e Janbazan Foundation of Martyrs and Veteran Affairs Bonyad e Mostazafan va Janbazan Foundation for the Oppressed and Disabled Bonyad Panzdah Khordad Foundation of the 15 Khordad Astan Quds Razavi Imam Reza Shrine Foundation Archived 2008 03 03 at the Wayback Machine Retrieved from https en wikipedia org w index php title Bonyad amp oldid 1218183442, wikipedia, wiki, book, books, library,

article

, read, download, free, free download, mp3, video, mp4, 3gp, jpg, jpeg, gif, png, picture, music, song, movie, book, game, games.