Iran's Economic Integration into the CIS

The set goal in Iran's Twenty-Year Vision Document is effective and constructive interaction with the world and regional powers such as Russia and 300 million CIS market. This study aimed to analyze influential factors of Iran’s economic integration into the CIS region. In this order, we use the Panel Data approach during the period 1992-2015. Trade, production, population, and distance are the key variables of Iran’s gravity model in CIS region. The regression results confirm the significance of the gravity model. The coefficients (elasticity) of the three independent variables, including production, distance and Linder are 3.45, -3.25 and -0.38 respectively, which demonstrates the high sensitivity of the two variables of production, distance, and their significance. But the Dummy Variable of the maritime boundary has no significant effect due to the overcoming of Azerbaijan’s dry land boundary.