Saudi Arabia and Qatar have announced that they will pay Syria’s $15 million debt to the World Bank, potentially unlocking millions of dollars in aid and giving a boost to the new government’s task of rebuilding an economy shattered by civil war.

The joint payment will enable the World Bank to resume its support and activities in Syria after an interruption of more than 14 years. It will also allow the new Syrian government to gain access to funds and technical support to rebuild institutions and try to speed up development, Qatar and Saudi Arabia said in a joint statement.

Syrian Government Expresses ‘Deep Gratitude’

The Syrian government in Damascus, the capital, expressed its “deep gratitude” for the move. “It also opens the door to activating cooperation with international institutions to serve the issues of recovery and reconstruction,” the Foreign Ministry said in a statement.

The government in Syria still faces major hurdles in trying to rebuild the country after the nearly 14-year war that led to the ouster of Bashar Assad in December. The conflict has taken a huge toll on the economy, with industries decimated and infrastructure destroyed. More than 90% of Syrians live in poverty, and 1 in 4 is unemployed, according to the United Nations. The value of the currency has plummeted: from 50 Syrian pounds to the U.S. dollar before the war, to about 15,000 when the Assad regime was overthrown.

The situation has not improved significantly. The country’s new rulers, led by the rebel groups that toppled Assad, have instituted policies that have left Syrians in even more economic pain. Long lines regularly form at banks as people try to withdraw money from their accounts, hundreds of civil servants have been dismissed, and some public subsidies have been eliminated.

Trump Administration Imposes Conditions Before Sanctions Lift

Early hopes that the Western sanctions imposed on Syria to punish the Assad regime would be lifted quickly have been dashed. Some governments, including those of the European Union and of Britain, have eased sanctions, and the United States has issued a general license, allowing for some exemptions of U.S. restrictions for six months.

But the Trump administration has imposed a number of conditions before it will lift sanctions. Those include preventing Iran and its proxies from operating on Syrian territory.

The United States has also expressed concern about the jihadi past of the new president, Ahmad al-Sharaa, and of his former links to al-Qaida.

Saudi Arabia and Qatar said their decision was made during a discussion about Syria held on the sidelines of meetings of the World Bank and the International Monetary Fund in Washington this month.

That event “provided a platform for the Syrian authorities to present their ongoing efforts to stabilize and rebuild their country, reduce poverty and achieve long-term economic development,” according to a joint statement from the Saudi finance minister, the IMF managing director and the World Bank president released before the Saudi Arabia-Qatar funding was announced.

“There was broad recognition of the urgent challenges facing the Syrian economy and a collective commitment to support the authorities’ efforts for recovery and development,” the statement added.

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This article originally appeared in The New York Times.

By Raja Abdulrahim/Kiana Hayeri
c. 2025 The New York Times Company