Saudi Arabia and Qatar have pledged to settle Syria’s outstanding debts to the World Bank, totaling approximately $15 million. This agreement, announced during the spring meetings of the World Bank and IMF in Washington on Sunday, marks the first financial assistance from Saudi Arabia to Syria since the fall of Bashar al-Assad’s regime.
The payment will allow Syria to access funding from the World Bank for essential reconstruction efforts, including the revitalization of public-sector salaries and broader economic recovery programs. The two Gulf nations said the settlement would pave the way for the World Bank Group to resume its operations in Syria, ending a 14-year suspension due to the country’s ongoing conflict and international sanctions.
Syria’s economy has been devastated by over a decade of civil war, compounded by crippling sanctions. Despite these challenges, Saudi Arabia and Qatar have ramped up humanitarian aid to Syria, signaling a shift in their approach as they seek to expand their influence in the region. This new commitment comes after Saudi Arabia welcomed Syria’s new leader on his first foreign trip in February, further signaling a thaw in relations.
Saudi Finance Minister Mohammed al-Jadaan emphasized the need for caution in dealing with Syria, given ongoing sanctions, but stressed that the international community must do more to support war-torn countries in the region, including Yemen, Sudan, and Lebanon.
Syria’s central bank governor and finance minister attended the World Bank and IMF meetings for the first time in over two decades, marking an important step in the country’s efforts to rebuild diplomatic ties and secure international support for its recovery. However, officials from both the IMF and the World Bank underscored the need for credible economic data and the restoration of Syria’s central bank to ensure the country can effectively manage any future financial assistance.
