In a bid to revitalize Syria's struggling economy, Saudi Arabia and Qatar have pledged $15 million to settle the country's debt to the World Bank, a move aimed at facilitating post-civil war recovery.
Saudi Arabia and Qatar to Assist in Syria's Economic Recovery
Saudi Arabia and Qatar to Assist in Syria's Economic Recovery
Joint contribution aims to clear World Bank debt and pave the way for reconstruction efforts in Syria.
In a significant step towards rebuilding Syria's war-torn economy, Saudi Arabia and Qatar have announced a $15 million payment to cover Syria's outstanding debt to the World Bank. This financial support enables the World Bank to resume vital aid, which has been suspended for over fourteen years due to the ongoing conflict. The new Syrian government, which emerged after the civil war that led to the ousting of Bashar al-Assad, expressed its “deep gratitude” in a recent statement, highlighting the potential for renewed cooperation with international institutions focused on recovery and reconstruction.
Syria’s economy has faced catastrophic damage from nearly fourteen years of civil war, resulting in widespread poverty and unemployment. According to the United Nations, more than 90% of the Syrian population now lives in poverty, with one out of four individuals unemployed. The currency has also experienced severe devaluation – from a pre-war value of 50 Syrian pounds to about 15,000 pounds per dollar.
Despite early hopes that Western sanctions on Syria would be swiftly lifted, the situation remains dire. Although some governments have eased certain restrictions, including those of the European Union and the United Kingdom, the U.S. maintains stringent sanctions, with only a limited general license temporarily relaxing some constraints.
The new authorities, led by rebel groups following the removal of the Assad regime, have been unable to significantly improve the economic conditions for citizens. Efforts to withdraw money often lead to long queues at banks, and major shifts in economic policies have resulted in job cuts for many civil servants and the reduction of public subsidies.
The joint initiative by Saudi Arabia and Qatar is viewed as a crucial first step in not only addressing immediate economic needs but also in potentially unlocking further international assistance as Syria continues on the challenging road to recovery.
Syria’s economy has faced catastrophic damage from nearly fourteen years of civil war, resulting in widespread poverty and unemployment. According to the United Nations, more than 90% of the Syrian population now lives in poverty, with one out of four individuals unemployed. The currency has also experienced severe devaluation – from a pre-war value of 50 Syrian pounds to about 15,000 pounds per dollar.
Despite early hopes that Western sanctions on Syria would be swiftly lifted, the situation remains dire. Although some governments have eased certain restrictions, including those of the European Union and the United Kingdom, the U.S. maintains stringent sanctions, with only a limited general license temporarily relaxing some constraints.
The new authorities, led by rebel groups following the removal of the Assad regime, have been unable to significantly improve the economic conditions for citizens. Efforts to withdraw money often lead to long queues at banks, and major shifts in economic policies have resulted in job cuts for many civil servants and the reduction of public subsidies.
The joint initiative by Saudi Arabia and Qatar is viewed as a crucial first step in not only addressing immediate economic needs but also in potentially unlocking further international assistance as Syria continues on the challenging road to recovery.
