Khaberni - Major Saudi companies intend to inject billions of dollars in investments in Syria, in line with the Kingdom's business-oriented approach aimed at the country's recovery, albeit American sanctions and the disintegration of the Syrian state apparatus pose huge obstacles.
According to Reuters, Saudi and Syrian businessmen said that Saudi funds might also soon flow into the civil aviation, education, and medical sectors in Syria. Additionally, Riyadh is holding talks with Damascus to establish a railway line through Jordan.
The CEO of the Saudi-Syrian Business Council, Abdullah Mando, said that among the companies looking to enter the Syrian market are Saudi Arabia's renewable energy giant ACWA Power and the Saudi Telecom Company (STC).
He added that the plan aims to start with the basics of the war-torn Syrian economy by rebuilding the infrastructure for energy and the financial and telecommunications sectors.
He continued, speaking to Reuters in Riyadh this week, during the Future Investment Initiative conference, which brings together political leaders and global businessmen, "The goal is to attract... billions of dollars of real capital to Syria over the next five years."
* Severe sanctions still imposed
In May, the Kingdom of Saudi Arabia hosted a historic meeting between U.S. President Donald Trump and the new Syrian President Ahmad al-Shar', where Trump announced he would lift all sanctions imposed on Syria.
However, despite widespread exemptions, the stricter measures, known as Caesar sanctions, must be repealed through the U.S. Congress where legislators remain divided on this issue. It is expected that they will make a decision before the end of the year.
Mando said that the Caesar sanctions law is "the last restraint choking the Syrian economy... There could still be significant investments, but moving capital remains challenging."
A spokesperson for the U.S. State Department said that the Trump administration supports the removal of sanctions imposed on Syria under the Caesar Act through the National Defense Authorization Act, which is currently being discussed by U.S. lawmakers.
The spokesperson added, "The United States is in regular contact with its partners in the region, and welcomes any investment or engagement in Syria that supports the opportunity for all Syrians to build a state characterized by peace and prosperity."
The Syrian Ministry of Information did not respond to a request for comment.
* Deals worth billions of dollars
The World Bank estimated the cost of rebuilding Syria to be about $216 billion, following a civil war that lasted nearly 14 years and caused widespread destruction in the country.
In July, Saudi Arabia announced investments exceeding six billion dollars in Syria, including $2.93 billion for real estate and infrastructure projects and about $1.07 billion for the telecommunications and information technology sector.
The Diriyah Company, a major Saudi project focused on developing a historic site in Riyadh as a real estate and tourist destination, held discussions this week with Syrian officials about potential roles in reconstructing historic sites in Syria.
Syria signed memoranda of understanding with Qatari and Emirati companies, among others, for projects in the energy and infrastructure sectors, but Syrian officials say that the actual funds raised have been minimal due to sanctions and financial sector setbacks.
Saudi and Syrian officials are confident about the repeal of Caesar's Law sanctions, and are preparing for it.
Mando, one of 60 Saudi businessmen in the Business Council, many of whom are of Syrian origin, said, "There is substantial available capital, and I believe that the level of spending is virtually nil."
* Vision 2030
Analysts say that Riyadh's bet on Syria is linked to geopolitical conditions, but it also aligns with the Vision 2030 of Saudi Crown Prince Mohammed bin Salman to diversify the kingdom's economy away from oil dependency.
Adel Hamayzia, Managing Director at Hybridbridge Advisory, said, "This approach aligns perfectly with the broader goal of Vision 2030, which is not limited to domestic transformation, but includes transforming the kingdom into a hub for regional and global connectivity."
He added, "It is a recognition that the prosperity of the kingdom and its ambitions to diversify its economy are inseparable from the stability of its neighbors and the restoration of integration between them."
At the presence of top money makers and investment managers globally, Crown Prince Mohammed bin Salman granted Shar', born in Riyadh, an opportunity to speak from the platform of the Future Investment Initiative conference on Wednesday.
Al-Shar' told attendees that Syria has chosen the path of rebuilding through investments rather than receiving aid.
