Economic growth in ME crucial to beat extremism: Iranian president

ROME: Generating economic growth in the Middle East is crucial to defeating extremism, Iranian President Hassan Rouhani said on Tuesday, putting forward his country as a regional trade hub and pillar of stability.

Rouhani is on a four-day trip to Italy and France, looking to rebuild Iranian relations with the West some two weeks after financial sanctions on Tehran were rolled back following the implementation of its nuclear deal with world powers.

Italy announced some 17 billion euros ($18.4 billion) of business deals with Iran on Monday.

Mega contracts are also in the offing in France, reflecting EU countries´ keenness to cash
in on the diplomatic thaw with the Islamic Republic.

Underscoring the growing warmth, Rouhani said he expected Italian Prime Minister Matteo Renzi to visit Iran in the coming months to help boost bilateral economic alliances.

"We are ready to welcome investment, welcome technology and create a new export market," Rouhani told a business forum on the second day of his visit to Rome, saying Iran had ambitions to develop its own economy after years of curbs and hardship.

"Under the new conditions, we want to export 30 percent of what we produce in Iran," he said, calling for rapid investment in "the most secure and stable country in the region".

Later, during a 40-minute private meeting in Pope Francis´s private study, the pontiff asked Rouhani to work with other Middle East states to promote peace and stop the spread of terrorism and arms trafficking in the region.

Italy rolled out the red carpet to Rouhani and his 120-member delegation of business leaders and cabinet ministers, seeing Shi´ite Muslim Iran as a possible partner in the international coalition against Sunni Muslim Islamic State insurgents.

"If we want to combat extremism in the world, if we want to fight terror, one of the roads before us is providing growth and jobs. Lack of growth creates forces for terrorism. Unemployment creates soldiers for terrorists," Rouhani said.