Saudi Arabia forms joint bank with Syria in next step for investment

Saudi Arabia and Syria have teamed up to establish a joint bank aimed at facilitating investment and easing economic ties. The two nations are also set to enhance cooperation in transport and tourism sectors following 13 years of civil war. Recent announcements signified closer economic ties between the Gulf countries and Syria. The US recently lifted remaining terrorism-related sanctions against Syria, providing a boost to Syrian economic prospects.

Syrian President Ahmad Al Shara met Saudi Arabia's Transport Minister Saleh bin Nasser Al Jasser in Damascus to sign agreements on road, rail, and aviation projects. Earlier, Al Shara made Syria's first Visa card payment since returning to the economy. The joint bank is designed to simplify money transfers between the two countries, with a focus on funding Syrian tourism and property developments. In 2026's first half, Syria welcomed 3.5 million visitors, a significant increase from the previous year.

Qatar-funded plans include the redevelopment of Damascus airport, while the UAE supports a proposed Damascus metro. Saudi companies have pledged substantial investments. The transport deals announced with Syria include expanded airline operations, aiming to "reconnect Syria with its Arab and regional surroundings." Additional road and rail agreements were also signed. Syria appreciates Saudi Arabia's efforts to simplify visa processes for lorry drivers, facilitating the movement of goods between the nations.

Attracting foreign investment has been a top priority for the Syrian government since taking power from the deposed Bashar Al Assad regime in late 2024. Saudi Arabia and Qatar initially aided Syria by paying off its World Bank debts in May and shortly after the US lifted sanctions under President Donald Trump. However, Syria's recovery has faced security challenges, including clashes between government forces and minority groups, as well as remnants of ISIS responsible for explosions in Damascus.