Iran is a theocratic republic in the Middle East (ME) and one of the most controversial states in the region. A diverse population includes many ethnicities, such as Persian, Azerbaijani, Gilaki, and others, being a significant factor contributing to the development of the highly divided society with the various interests and political aspirations. The continuous instability in the state, the efforts to acquire weapons of mass destruction as well as Iran’s connection to the terrorist groups, give plausible reasons to discuss its sponsoring of global terrorism. This essay will analyze the reasons for Iran’s involvement, the state’s foreign policy, and its support for the specific terrorist groups, which influence the ME as well as the whole world. Due to the particular features of the theocratic regimes, in the case of Iran, the inclination towards terrorism can be explained by two pillars of the Islamic doctrine underlining the constitution. Firstly, the obligation to support jihad – the holy war waged on behalf of Islam as a religious duty (Merriam-Webster, n.d.). Secondly, the mission to spread the Muslim faith, which is expressed in backing the proxy organizations (Spindlove&Simonsen, 2018). Since the establishment of the Islamic Republic of Iran in 1979 as a result of the Iranian Revolution prepared by the Mujahedin-e-Khalq (MEK), the secular regime of Shah Mohammad Reza Pahlavi was overthrown. Thus, the Islamic principles in the regime started to play an even more crucial guiding role under the religious leader Ayatollah Khomeini. Beyond the abovementioned Islamic motives, the critical implications for Iran’s foreign policy conclude in the anti-US and anti-Israel actions, posing a threat to their citizens. In Bush’s speech in 2002, he named Iran an ‘axis of evil,’ thus, accusing the state of the hostility. However, already in 1989, after Khomeini’s call to kill Rushdie, the British author, the relations between the Western powers and Iran were not favorable. According to Spindlove&Simonsen (2018), the US considers Iran the main sponsor of terrorism and indicates the impossibility of establishing normal relations between the states until the changes in Iran’s behavior. The relations with the state in the region are complicated by the propagation of Islam as well as by the explicit desire to destroy Israel. The specific examples of Iran’s involvement in sponsoring international terrorism can be observed in the ME region and the West. Iran assisted Hamas and Palestine Islamic Jihad (PIJ) with the weapons, training, and resources, whereas the primary beneficiary of Iran’s support for terror has been Lebanese Hezbollah (Spindlove&Simonsen, 2018). The attack on the Khobar Towers in Saudi Arabia, the violation of Arab-Israeli armistices, and interference almost in every state of the region are clear examples of the state-sponsored terrorism in the Middle East, contributing to the continuous turmoil in the area. The Qods Force is another prominent actor providing military assistance in troubled regions, including espionage and assassination. As for the terrorism outside the region, Iran has a connection with 9/11, as it was the original source of the Commission Report (Spindlove&Simonsen, 2018). Their aiding and abetting Al Qaeda and the engagement of Hezbollah in the attack led to one of the most disastrous terrorist attacks in the Western world. To conclude, Iran’s involvement in international terrorism is undeniable and can be explained through different factors, with special attention