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Privatization of soccer clubs in Iran

While soccer clubs lose money, their social base of support is an attraction to Iran’s government.
Qatar's Al-Rayyan player Afonso Alves Martins fights for the ball with Iran's Al-Esteghlal player Soheil Omran Zadeh (R) during their AFC Champions League soccer match at the Al-Rayyan Stadium in Doha March 6, 2012. REUTERS/Stringer  (QATAR - Tags: SPORT SOCCER TPX IMAGES OF THE DAY) - RTR2YXIZ

This week, Iran’s minister of sports and youth, Mahmoud Goudarzi, appointed Amir Reza Khadem, former wrestling world champion and member of the Tehran City Council as the ministry’s special representative in the process of privatization of Tehran’s most prestigious soccer clubs, Persepolis and Esteghlal. This appointment was welcomed by leading stakeholders as a positive step in resolving a lasting issue in the country’s soccer scene.

Incidentally, the plan to privatize these two popular soccer clubs has been stalled since 2005. In fact, these two entities were put on the privatization list in accordance with the provisions of the fourth five-year development plan. Mohammad Khatami's government then took the first step and authorized the Iran Privatization Organization (IPO) to prepare the two clubs for privatization. However, after the change of government in 2005, the plan was put on hold indefinitely and without any clear explanation. 

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