Saudi Arabia plans to pay off Syria’s World Bank debts

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Syria’s interim President Ahmed Al-Sharaa attends an interview at the presidential palace, in Damascus, Syria March 10, 2025. — Reuters
Syria’s interim President Ahmed Al-Sharaa attends an interview at the presidential palace, in Damascus, Syria March 10, 2025. — Reuters

BEIRUT: Saudi Arabia plans to pay off Syria’s debts to the World Bank, three people familiar with the matter said, paving the way for the approval of millions of dollars in grants for reconstruction and to support the country’s paralysed public sector.

The plans, which have not been previously reported, would be the first known instance of Saudi Arabia providing financing for Syria since religious-led rebels toppled former leader Bashar al-Assad last year.

It may also be a sign that crucial Gulf Arab support for Syria is beginning to materialise after previous plans, including an initiative by Doha to fund salaries, were held up by uncertainty over US sanctions.

Last month, Qatar annou­nced a plan to provide Syria with gas via Jordan to improve the nation’s meagre electricity supply, a move that sources said had Washington’s nod of approval.

A spokesperson for the Saudi Ministry of Finance said, “We do not comment on speculation, but make announcements, if and when they become official.”

Syria has around $15 million in arrears to the World Bank which must be paid off before the international financial institution can approve grants and provide other forms of assistance.

But Damascus is short of foreign currency and a previous plan to pay off the debts using assets frozen abroad did not materialise, according to two people familiar with the matter.

Published in Dawn, April 15th, 2025

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