According to the International Monetary Fund, the Islamic Republic of Iran had a substantial drain of highly educated individuals (15 percent) in the early 1990s. More than 150,000 Iranians left the Islamic Republic every year in the early 1990s, and an estimated 25% of all Iranians with post-secondary education then lived abroad in "developed countries" (according to the standards of the OECD). A report by the International Monetary Fund in 2009 indicated that Iran tops the list of countries losing their academic elite, with an annual loss of 150,000 to 180,000 specialists. It is equivalent to a capital loss of $50 billion. In addition, the political crackdown following the 2009 election protests is said to have created a "spreading refugee exodus" of elite Iranians. It has also been reported that CIA is running a covert operation codenamed "Braindrain Project" with the aim of luring away Iran's nuclear talent, thus undermining Iran's nuclear program.
Between 1991 and 1999, job creation in Iran could provide for "less than 60 percent of those entering the job market", according to a 2003 United Nations Common Country Assessment of Iran's development.
The CIA estimates that 77% of 51 million of Iranians aged 15 and over can read and write. A significant majority of this population is at or approaching collegiate levels. Among the factors contributing to the brain drain are "economic well-being and better educational prospects abroad. The inability of the home country to respond to its citizens' needs, coupled with high unemployment rates and a general lack of intellectual and social security, all contribute to the brain drain. Additionally, self-censorship prevents people from thinking and writing freely, a limitation that makes both scientific and social science research extremely difficult."
Intense competition for university seats in Iran also plays a key role. Only about 11% of the approximately 1.5 million people who take exams annually are accepted into a university. Even after acquiring an undergraduate degree, young people find there are few jobs available. According to official statistics, of the 270,000 university graduates entering the labor market each year, an estimated 75,000 can find jobs. The flight of human capital costs the government over $38 billion annually, two times the revenues received from selling oil. Under the provisions of a five-year development plan, the country is trying to create jobs for its unemployed population, though the results of these efforts have not yet materialized. Consequently, the country remains unable to benefit from its educated diaspora or its pool of unemployed experts at home."