Page 6 - Azerbaijan State University of Economics

P.M.Ignatiev, P.V.Bovsunivskyi: Turkey and Iran: political rivalry and economic cooperation
through the ages

However, despite political rivalry Turkey and Iran have mutually beneficial

cooperation in trade and tourism.

The article covers the development of Turkish–Iranian relations in political and

economic fields since the establishment of modern states. The authors consider different

historic periods of interaction in XX-XXI centuries, the competition of both states for

influence in the Post-Soviet space and the Middle East, the cooperation and rivalry

concerning the unresolved Kurdish question and finally the close economic

interdependence of both neighbours. In order to achieve the research goals of the article

Turkish and Iranian news outlets were used as the main sources of information.

Key words: Turkey, Iran, rivalry, cooperation, oil and gas, trade, tourism.

JEL classification: F59; L83

Strategically situated on the crossroads of the Middle East and the Caucasus,

the Islamic Republic of Iran and the Republic of Turkey, which share 499-km long

border, have longstanding and complicated relations tracing their origin back to the

medieval confrontation of Ottoman and Persain empires. The heritage of the past is

exaggerated by the Sunni-Shia divide in Muslim world and the intention of both

sides to play the leading transit and economic role in the neigbouring regions. Iran is

the country with general population of more than 77 million people, which includes

the biggest number of representatives of Shia belief in the world. Simultaneously at

least 13 per cent of Iranian citizens are practicing Sunni Islam [1]. Turkey is one of

the demographic leaders among Sunni states with the population of a little more than

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