§ Mrs. Bridget PrenticeTo ask the Secretary of State for Foreign and Commonwealth Affairs what assessment he has made of the threat to regional stability posed by the current economic situation in Iran.
§ Mr. Douglas HoggWe keep all developments which could affect regional stability under close review, including Iran's economic difficulties.
§ Mrs. Bridget PrenticeTo ask the Secretary of State for Foreign and Commonwealth Affairs if he will make a statement regarding the current state of diplomatic and economic relations between the Islamic Republic of Iran and the United Kingdom.
§ Mr. Douglas HoggWe recognise Iran's regional importance and seek to develop our bilateral relationship with Iran. But as was made clear at the European Council at Edinburgh in December last year, the extent to which closer relations with and confidence in Iran can be developed will be determined by improvements in Iran's behaviour in a number of areas, in particular: the fatwa against Salman Rushdie; terrorism; and human rights.
We welcome the recent increase in trade between Britain and Iran. British exports to Iran in 1992 were £568.1 million: Iran's exports to Britain were £164.5 million.