In a significant shift in policy, U.S. President Donald Trump announced during his speech at the U.S.-Saudi Business Forum in Riyadh that the United States would lift sanctions imposed on Syria after discussions with Saudi Crown Prince Mohammed bin Salman.
Trump stated, “I will issue an order to halt the sanctions against Syria to provide it an opportunity to thrive,” emphasizing that the decision was made following “direct and constructive discussions” with Saudi leadership.
He noted that the sanctions were “harsh and debilitating,” but played an important role. He added that the time has now come for Syria to shine.
The announcement was met with celebrations in several Syrian cities, amidst optimism that this shift could herald an economic and political breakthrough after more than a decade of isolation and conflict.
Politically, this decision is perceived as an indirect acknowledgment of the legitimacy of the new Syrian government led by Ahmad al-Shara, who assumed power after the ousting of Bashar al-Assad in December 2024.
Al-Shara has recently intensified his diplomatic efforts, aiming to position himself as a moderate and open figure to the international community by distancing from extremist groups, supporting minority rights, and engaging in indirect talks with Israel.
Immediate Surge in Currency Market
From an economic perspective, the Syrian pound has witnessed a notable increase against the dollar in the parallel market, with a rise of approximately 10 percent, trading between 8,300 pounds for buying and 8,700 pounds for selling, according to local platforms monitoring currency movements.
This improvement is viewed as a preliminary indication of the decision’s impact in calming the market and opening doors for remittances and investments.
Signs of Economic Revival
Experts anticipate that the decision will facilitate the import of essential goods such as food and medicine, alleviating the burdens of the economic crises facing the country.
The opening of markets is also expected to bolster local production and take initial steps toward self-sufficiency, despite ongoing structural challenges.
Reconstruction Efforts
Lifting the sanctions rekindles hope for the launch of vital reconstruction projects, particularly in damaged infrastructure such as hospitals, schools, and transport and energy networks.
This move could attract Arab and international investors, especially if coupled with similar actions from European countries and international financial institutions.
Observers see the U.S. decision as an important turning point, but caution that it alone is not sufficient to rebuild the nation. The task requires substantial internal reforms, a more open political climate, and genuine guarantees for investment protection and security stability.
As attention turns to forthcoming international actions, the central question remains: Is this decision the start of Syria’s recovery, or merely another test on a long road ahead?