In a significant diplomatic move, Saudi Arabia and Qatar have announced they will pay off Syria’s nearly USD 15 million debt to the World Bank. This decision, made during meetings between the World Bank and IMF in Washington, aims to unlock international support for Syria’s recovery, after years of devastating conflict.
The debt payment comes at a pivotal time for Syria, which has been devastated by over a decade of civil war that killed half a million people and left the country’s infrastructure in ruins. Following the fall of Bashar Assad’s government in December 2024, Saudi Arabia and Qatar have been primary backers of the new Syrian leadership.
A New Chapter for Syria’s Reconstruction
Syria’s Foreign Ministry expressed gratitude to the two wealthy Gulf nations, noting that their gesture opens the door for future cooperation in rebuilding the war-torn country. The Syrian government has been plagued by international sanctions, largely due to its previous leadership under Assad. However, with the payment of the debt, the World Bank is now positioned to resume its operations in Syria, which have been dormant for more than 14 years.
The United Nations had estimated in 2017 that it would cost at least USD 250 billion to rebuild Syria, though experts now suggest the price tag could reach as high as USD 400 billion. The joint Saudi-Qatari statement highlighted that settling Syria’s debt will allow the country to access future support for key sectors, though specifics were not disclosed.
Challenges and Support from the Region
Despite facing numerous challenges, including ongoing Western sanctions targeting Syria’s leadership and the US designation of Hayat Tahrir al-Sham (HTS) as a terrorist organization, the country is gradually receiving aid. Qatar, for instance, has been sending natural gas through Jordan to alleviate the country’s frequent power cuts, while Saudi Arabia and Qatar’s payment of the World Bank debt could accelerate Syria’s path to recovery.
While Western powers, including the United States and the European Union, have started easing certain sanctions, including measures against Syria’s energy sector, the road to full recovery is still hindered by political complexities. The United States has yet to formally recognize the new Syrian government, led by president Ahmad al-Sharaa, while the European Union has begun lifting some restrictions on Syria’s oil, gas, and transport sectors.
A Path Forward for Syria
As Syria begins to rebuild, the role of Saudi Arabia and Qatar will be crucial in providing the financial backing necessary for long-term recovery. This move is seen as part of broader efforts by Gulf nations to stabilize the region and foster economic growth in Syria, which could pave the way for the eventual lifting of sanctions.
With infrastructure in shambles and the nation still recovering from the effects of the war, Syria is at a critical juncture. The debt repayment and the potential for renewed international support provide a glimmer of hope for a country seeking to recover and rebuild its economy after years of destruction.
