Syria and World Bank to set up recovery and rebuilding fund

Syria and the World Bank have reached an agreement to establish a multi-donor trust fund aimed at aiding the country's recovery and reconstruction efforts following a protracted civil war. Known as the Syria Recovery and Reconstruction Trust Fund, or "Start," this initiative will provide concessional financing, investment guarantees, and technical assistance to rebuild Syria's infrastructure.

The announcement was made in a joint statement on Sunday, following Syria's participation in recent International and World Bank annual meetings in Bangkok, Thailand.

The Syrian Finance Minister, Yisr Barnieh, highlighted that the agreement marks a significant milestone in the country's recovery journey, fostering new cooperation with international partners. The World Bank estimates that the reconstruction of Syria could cost around $216 billion, with infrastructure accounting for 48% of the total damage. The fund will focus on supporting basic services, enhancing institutional capacities, and expanding economic opportunities.

Participating nations, including those from the US, Europe, and the Middle East, have expressed their support for the initiative. Notably, Qatar has offered financing for projects related to the rehabilitation of Syria's electricity grids, water networks, public services, and the Damascus International Airport. Additionally, Baker Hughes, Caterpillar, and Visa, among other US companies, recently visited Syria to explore and strengthen economic ties, weeks after the US removed Syria from its list of state sponsors of terrorism.

The World Bank has also initiated a technical assistance program for Syria, stemming from a staff-level visit in July. The International Monetary Fund (IMF) is set to reincorporate Syria into its group, marking a return from a Russian-led group it had joined in 2012.