{"id":40619,"date":"2025-12-08T18:07:39","date_gmt":"2025-12-08T18:07:39","guid":{"rendered":"https:\/\/963media.com\/en\/?p=40619"},"modified":"2025-12-08T18:07:39","modified_gmt":"2025-12-08T18:07:39","slug":"syrias-economy-one-year-on-what-has-really-changed","status":"publish","type":"post","link":"https:\/\/963media.com\/en\/08\/12\/2025\/syrias-economy-one-year-on-what-has-really-changed\/","title":{"rendered":"Syria\u2019s Economy One Year On: What Has Really Changed?"},"content":{"rendered":"

Before the fall of the Assad regime, the economic scene in Damascus, Aleppo and other cities reflected a system gasping for breath under years of war, sanctions and entrenched corruption. Today \u2013 one year after the end of a rule that lasted more than fifty years \u2013 the picture is more complex. The economy sits between the ruins of collapse and the hope of renewal, where cautious optimism mixes with the heavy burden of daily struggle. Syria now stands in a grey zone between the legacy of breakdown and the possibility of transformation, as investors hesitate and ordinary Syrians wait to see whether real change will touch their daily lives rather than remain tied to ambitious megaprojects.<\/span><\/p>\n

One year is not enough to determine the future of an economy exhausted by conflict and political turmoil, yet the fall of the regime has opened the door to a new phase. The economy has a chance to reshape itself \u2013 if leadership, stability and vision emerge. For now, Syria remains in one of the most uncertain periods in its modern economic history, still searching for a \u201cnew identity\u201d. While the new reality attempts to define an alternative economic model, the effects of political and administrative vacuum are visible across every sector. The question, then, is what has changed? How have markets moved? And what lies ahead \u2013 recovery or further decline?<\/span><\/p>\n

Everyday Life After Assad Fall\u00a0<\/b><\/h2>\n

In Damascus\u2019s popular markets, goods are more diverse than at any time in recent memory \u2013 from Turkish and Chinese products to Gulf-made items \u2013 according to shopkeeper Abla Khaled, who spoke to <\/span>+963<\/b>. Yet purchasing power has not kept pace. Prices absorb most incomes, widening the gap between those with remittances or private businesses and those who rely on government salaries that barely last a few days.\u00a0<\/span><\/p>\n

In an industrial district of Aleppo, Said has reopened his metal workshop after a decade of closure. \u201cI\u2019m no longer afraid of an economic security patrol or some officer demanding his share,\u201d he tells <\/span>+963<\/b>. \u201cMy worry now is the power cuts \u2013 and customers who cannot afford much.\u201d His words reflect a shift from fear of the security apparatus to fear of economic survival, with more than two-thirds of Syrians still under the poverty line despite the end of the old repression.<\/span><\/p>\n

In Daraa, university graduate Mahmoud Al-Masalma summarises the public mood: \u201cThe regime fell, but prices didn\u2019t fall, and neither did unemployment or favouritism,\u201d he tells <\/span>+963<\/b>. His comment reflects the feeling among many that political change has yet to translate into meaningful improvements in everyday life.<\/span><\/p>\n

In contrast, economic activist Ghaydaa al-Ahmad from Latakia sees the present moment as \u201ca founding stage\u201d. She tells <\/span>+963<\/b> that the opening of trade, the reduction of restrictions and the first attempts to dismantle older corruption networks \u2013 while still incomplete \u2013 give young entrepreneurs space to innovate, provided a stable financial environment and clear laws emerge.\u00a0<\/span><\/p>\n

Read also: Syrians Commemorate the First Anniversary of the Fall of Assad\u2019s Regime<\/a>
\n<\/strong><\/p>\n

Economy\u2019s Direction<\/b><\/h2>\n

After a year, the Syrian economy can best be described as transitional \u2013 a mix of accumulated collapse and uneven attempts at revival. Economist Mahmoud Saad al-Din summarises the landscape in three points: a weakened economy lacking institutions and expertise; real but uncertain opportunities for reconstruction if a stable national government emerges; and an ongoing risk of economic fragmentation between zones of control.\u00a0<\/span><\/p>\n

According to Saad al-Din, the economy could follow several paths: slow recovery if the transitional government manages to stabilise security and unify financial institutions; prolonged stagnation if political fragmentation and slow international support continue; or rapid recovery \u2013 a less likely outcome \u2013 which would require major foreign investment and a large international reconstruction drive.\u00a0<\/span><\/p>\n

He adds that Syria today is essentially an \u201ceconomy of aid and remittances\u201d. The transitional government is no longer the main economic actor, while international organisations have become the backbone of daily life, especially in food, health and education. Meanwhile, remittances are the main source of liquidity for millions, and new local business networks have begun to emerge across different regions. These networks \u2013 made up of local businessmen, civil administrations and new economic actors \u2013 now play a key role in shaping local markets and may influence the future political economy of the country.\u00a0<\/span><\/p>\n

Saad al-Din concludes: \u201cA year after the regime\u2019s fall, Syria stands at a decisive moment. Either commercial openness, lighter sanctions and new investments become the basis for a productive economy that creates jobs and redistributes income \u2013 or the country slides back into a fragile rent-based model, controlled by new networks of interests, leaving citizens stuck between low wages and high prices.\u201d<\/span><\/p>\n

From a War-Driven Economy to an Uncertain Horizon\u00a0<\/b><\/h2>\n

Researcher Hassan Murad describes today\u2019s Syrian economy as a mix of three overlapping worlds: a decayed public sector, a struggling private sector trying to rebuild, and a large informal economy that grew during years of chaos and now competes with both the state and formal markets. International data shows that GDP remains far below pre-2011 levels, with deep wartime contraction followed by timid growth of about 1 per cent in the first year after the regime\u2019s fall \u2013 too little for a country that has suffered devastation on this scale.<\/span><\/p>\n

Trade has seen rapid liberalisation \u2013 but also dangerous imbalances. Imports surged after the reopening of border crossings, especially with Turkey and neighbouring countries, and maritime shipping routes slowly resumed. Markets flooded with imported goods, while exports remained weak. Murad warns that the import bill could reach tens of billions of dollars annually, while exports remain modest, mainly agricultural and light industrial goods. This widening trade gap places constant pressure on the currency and on foreign reserves.<\/span><\/p>\n

Read also: Tax Reassessment in Syria: A New Barrier to Investment and Growth<\/a>
\n<\/strong>https:\/\/963media.com\/en\/07\/12\/2025\/tax-reassessment-in-syria-a-new-barrier-to-investment-and-growth\/<\/span><\/a>\u00a0<\/span><\/p>\n

Syrian Pound and Bread Prices: a Struggle to Restore Trust<\/b><\/h2>\n

Murad notes that the new authorities inherited a shattered currency and a public deeply distrustful of the Syrian pound. Dollarisation \u2013 partly informal, partly widespread \u2013 continued in many areas in the first months after the fall, with some regions relying on foreign currencies. Gradual measures to restore confidence have slowed the pound\u2019s decline, but it remains fragile and reactive to any political or security tension. Inflation has slowed compared to the war years, yet prices remain high and unaffordable for many households, fuelling the sense that \u201cimprovement\u201d is something seen in reports rather than in the price of bread or rent.<\/span><\/p>\n

Agriculture has seen better harvests in former conflict zones due to improved access to land, though unstable marketing systems lead to volatile prices. Industry, however, shows the opposite trend: traditional factories in Aleppo and rural Damascus continue to struggle with destruction, capital flight and the loss of skilled labour. Oil \u2013 once the backbone of the economy \u2013 remains severely damaged, with 70 per cent of wells destroyed or out of service and production at roughly 15 per cent of pre-2011 levels. Control over oil fields has also become a political issue between competing authorities.<\/span><\/p>\n

Murad argues that the real question now is whether Syrians and their partners can dismantle the legacy of corruption and monopoly and build a different economic and social compact \u2013 or whether the change will remain only at the level of names and faces rather than structures and systems.<\/span><\/p>\n

Economy and the Challenge of Reconstruction<\/b><\/h2>\n

Academic Khaled Al-Akla tells <\/span>+963<\/b> that no economic recovery can succeed without nationwide political and security stability, serious anti-corruption efforts and an environment that attracts the capital that fled the country. The first year after the transition shows that the economic cost of instability is the destruction of decades of development.\u00a0<\/span><\/p>\n

While the economy is shifting from \u201cwar economy\u201d to a transitional phase, humanitarian and development aid keeps large parts of the population afloat. Millions rely on some form of assistance. The transitional government is trying to attract foreign investment, mainly from Gulf states and Turkey, through new legal incentives, but the current scale of investment remains far below the hundreds of billions needed for reconstruction. Questions around fairness and effectiveness also persist.<\/span><\/p>\n

Foreign investors remain cautious due to insecurity, political uncertainty, the absence of a modern investment law and ongoing sanctions. International support is still mostly in the form of humanitarian aid or limited infrastructure projects rather than major reconstruction funds.<\/span><\/p>\n

Al-Akla argues that what Syria needs most is a structural reform plan: a unified financial system, restored confidence in the currency, a transparent and competitive market, a fairer tax system, targeted subsidies and support for productive sectors capable of exporting. Strong, transparent institutions are essential for managing reconstruction funds and distributing the costs of reform fairly.<\/span><\/p>\n

He concludes that the first year after the political change brought a glimmer of hope for an economy devastated by war, but the road to recovery remains long. Success will depend on national reconciliation, capable institutions and real investment. The Syrian economy today is like a patient who has left intensive care \u2013 still in need of long-term treatment and full rehabilitation.<\/span><\/p>\n

\n","protected":false},"excerpt":{"rendered":"

Before the fall of the Assad regime, the economic scene in Damascus, Aleppo and other cities reflected a system gasping for breath under years of war, sanctions and entrenched corruption. Today \u2013 one year after the end of a rule that lasted more than fifty years \u2013 the picture is more complex. The economy sits […]<\/p>\n","protected":false},"author":137,"featured_media":40620,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"jnews-multi-image_gallery":[],"jnews_single_post":{"format":"standard","override":[{"template":"1","single_blog_custom":"0","parallax":"1","fullscreen":"1","layout":"left-sidebar","sidebar":"default-sidebar","second_sidebar":"default-sidebar","sticky_sidebar":"1","share_position":"float","share_float_style":"share-normal","show_share_counter":"1","show_view_counter":"1","show_featured":"1","show_post_meta":"1","show_post_author":"1","show_post_author_image":"1","show_post_date":"1","post_date_format":"default","post_date_format_custom":"g:i a d\/m\/Y","post_reading_time_wpm":"300","post_calculate_word_method":"str_word_count","show_zoom_button":"1","zoom_button_out_step":"5","zoom_button_in_step":"4","show_post_tag":"1","number_popup_post":"1","show_post_related":"1"}],"image_override":[{"single_post_thumbnail_size":"crop-500","single_post_gallery_size":"crop-500"}],"trending_post_position":"meta","trending_post_label":"Trending","sponsored_post_label":"Sponsored by","disable_ad":"0","subtitle":"One year after the regime\u2019s fall, Syria\u2019s economy faces shifting realities and mounting challenges.\u00a0"},"jnews_primary_category":[],"jnews_override_counter":{"view_counter_number":"0","share_counter_number":"0","like_counter_number":"0","dislike_counter_number":"0"},"jnews_post_split":{"post_split":[{"template":"1","tag":"h2","numbering":"asc","mode":"normal","first":"0","enable_toc":"0","toc_type":"normal"}]},"footnotes":""},"categories":[430,19],"tags":[],"ppma_author":[429],"class_list":["post-40619","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-insights","category-slider"],"yoast_head":"\nSyria\u2019s Economy One Year On: What Has Really Changed? - 963+<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/963media.com\/en\/08\/12\/2025\/syrias-economy-one-year-on-what-has-really-changed\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Syria\u2019s Economy One Year On: What Has Really Changed?\" \/>\n<meta property=\"og:description\" content=\"Before the fall of the Assad regime, the economic scene in Damascus, Aleppo and other cities reflected a system gasping for breath under years of war, sanctions and entrenched corruption. 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