DUBAI/BEIRUT: Iran’s government and entities close to the elite Revolutionary Guards have signed major economic contracts with Syria, reaping what appear to be lucrative rewards for helping President Bashar Assad regain control of parts of his country from rebels.
An opposition group condemned the telecommunications and mining deals signed with Iran, Damascus’s main regional ally, as “looting” of the Syrian people and the country’s wealth by the “Iranian extremist militias.”
Syria’s economy is shrinking fast as industrial and agricultural output falls after six years of civil war, and almost two-thirds of the population lives in extreme poverty.
Five memorandums of understanding were signed during a visit by Syrian Prime Minister Emad Khamis to Tehran on Tuesday, including a license for Iran to become a mobile phone service operator in Syria, and phosphate mining contracts.
Syrian state news agency SANA quoted Khamis as saying the deals reflect the special relationship between the two nations.
“We greatly appreciate Iran’s major role in combating terrorism and standing by the Syrian people in every way, politically and economically,” he said.
Syria will give Iran 5,000 hectares of land for farming, and 1,000 hectares for setting up oil and gas terminals, according to Iran’s state news agency IRNA. A deal was also signed on providing lands for animal husbandry.
Analysts said the Islamic Revolutionary Guards Corps (IRGC), a military force that runs a powerful industrial empire in Iran, would benefit from the deals, especially on the mobile network contract. IRGC largely controls telecommunications in Iran.
“Telecoms are a very sensitive industry. It will allow Iran to closely monitor Syrian communications,” said Karim Sadjadpour, senior associate of the Carnegie Endowment for International Peace’s Middle East program.
More than 1,000 soldiers deployed by the IRGC to Syria have been killed on front lines of the conflict in recent years.
Apart from military assistance, Syria is increasingly indebted to Iran financially: Tehran opened a $3.5 billion credit line in 2013, and extended it by $1 billion in 2015, which economists say has helped keep the Syrian economy afloat.
SANA quoted Iran’s Vice President Eshaq Jahangiri as saying Tehran was ready to “implement a new credit line between Syrian Trade Bank and Export Development Bank of Iran” to help trade.
Tehran and Damascus also signed a memorandum of understanding to cooperate in a phosphate mine in Syria’s Al-Sharqiya, according to IRNA.
Syria is among the world’s largest exporters of the rock phosphate, a raw material used in the production of phosphatic fertilizers, although the war has marred its ability to mine and market its supply.
In 2015, Daesh militants seized Al-Sharqiya mine, one of the largest in the country, located 50 km southwest of the ancient Syrian city of Palmyra, the Syrian Observatory for Human rights monitoring group reported.
Syrian government forces backed by Iran’s IRGC drove Daesh out of Palmyra in March 2016 but the militants recaptured the city in December.
War-torn economy
In a meeting on Wednesday with Ali Akbar Velayati, the top adviser to Iran’s Supreme Leader, Syrian premier Khamis called for investment in reconstruction projects in Syria, as “the infrastructure has been destroyed by war.”
Tehran has already shown interest in helping Syria rebuild its roads, airports, power stations and ports — potentially benefiting the Revolutionary Guards, which own the biggest construction firms in Iran.
But not all Syrians have welcomed what Tehran and Damascus hailed as “a new page” for economic ties.
One political opposition group called the deals “illegal and unacceptable” under any circumstances.
“These agreements represent further a blatant violation of Syria’s sovereignty as they are meant to reward an occupation force in return for its involvement in shedding the Syrian people’s blood and attempting to break their will,” the Syrian National Coalition said in a statement on its website.
SANA reported that Tehran and Damascus aimed to sign a deal within two weeks to pave the way for investments by Iranian companies in a Syrian port, although it did not say which one.
“Iran increasingly treats Syria as one of its own provinces,” Sadjadpour said. “They saved Assad from falling, and now seem to feel entitled to help themselves to the Syrian economy.”
The Iranian energy minister was also quoted as saying by SANA that Tehran was ready to sign a long-term agreement with Damascus in energy sector.
Iranian firms are already involved in a series of electricity generation projects worth $660 million in Syria, according to state media in the Islamic Republic.
Iran aims to export electricity to Syria and create the biggest power network in the Islamic world by hooking up Iran’s national grid with those of Iraq and Lebanon.
Iran’s Revolutionary Guards reaps economic rewards in Syria
Iran’s Revolutionary Guards reaps economic rewards in Syria
Israel’s settler movement takes victory lap as a sparse outpost becomes a settlement within a month
- Smotrich, who has been in charge of Israeli settlement policy for the past three years, has overseen an aggressive construction and expansion binge aimed at dismantling any remaining hopes of establishing a Palestinian state in the occupied West Bank
YATZIV SETTLEMENT, West Bank: Celebratory music blasting from loudspeakers mixed with the sounds of construction, almost drowning out calls to prayer from a mosque in the Palestinian town across this West Bank valley.
Orthodox Jewish women in colorful head coverings, with babies on their hips, shared platters of fresh vegetables as soldiers encircled the hilltop, keeping guard.
The scene Monday reflected the culmination of Israeli settlers’ long campaign to turn this site, overlooking the Palestinian town of Beit Sahour, into a settlement. Over the years, they fended off plans to build a hospital for Palestinian children on the land, always holding tight to the hope the land would one day become theirs.
That moment is now, they say.
Smotrich goes on settlement spree
After two decades of efforts, it took just a month for their new settlement, called “Yatziv,” to go from an unauthorized outpost of a few mobile homes to a fully recognized settlement. Fittingly, the new settlement’s name means “stable” in Hebrew.
“We are standing stable here in Israel,” Finance Minister and settler leader Bezalel Smotrich told The Associated Press at Monday’s inauguration ceremony. “We’re going to be here forever. We will never establish a Palestinian state here.”
With leaders like Smotrich holding key positions in Israel’s government and establishing close ties with the Trump administration, settlers are feeling the wind at their backs.
Smotrich, who has been in charge of Israeli settlement policy for the past three years, has overseen an aggressive construction and expansion binge aimed at dismantling any remaining hopes of establishing a Palestinian state in the occupied West Bank.
While most of the world considers the settlements illegal, their impact on the ground is clear, with Palestinians saying the ever-expanding construction hems them in and makes it nearly impossible to establish a viable independent state. The Palestinians seek the West Bank, captured by Israel in 1967, as part of a future state.
With Netanyahu and Trump, settlers feel emboldened
Settlers had long set their sights on the hilltop, thanks to its position in a line of settlements surrounding Jerusalem and because they said it was significant to Jewish history. But they put up the boxy prefab homes in November because days earlier, Palestinian attackers had stabbed an Israeli to death at a nearby junction.
The attack created an impetus to justify the settlement, the local settlement council chair, Yaron Rosenthal, told AP. With the election of Israel’s far-right government in late 2022, Trump’s return to office last year and the November attack, conditions were ripe for settlers to make their move, Rosenthal said.
“We understood that there was an opportunity,” he said. “But we didn’t know it would happen so quickly.”
“Now there is the right political constellation for this to happen.”
Smotrich announced approval of the outpost, along with 18 others, on Dec. 21. That capped 20 years of effort, said Nadia Matar, a settler activist.
“Shdema was nearly lost to us,” said Matar, using the name of an Israeli military base at the site. “What prevented that outcome was perseverance.”
Back in 2006, settlers were infuriated upon hearing that Israel’s government was in talks with the US to build a Palestinian children’s hospital on the land, said Hagit Ofran, a director at Peace Now, an anti-settlement watchdog group, especially as the US Agency for International Development was funding a “peace park” at the base of the hill.
The mayor of Beit Sahour urged the US Consulate to pressure Israel to begin hospital construction, while settlers began weekly demonstrations at the site calling on Israel to quash the project, according to consulate files obtained through WikiLeaks.
It was “interesting” that settlers had “no religious, legal, or ... security claim to that land,” wrote consulate staffer Matt Fuller at the time, in an email he shared with the AP. “They just don’t want the Palestinians to have it — and for a hospital no less — a hospital that would mean fewer permits for entry to Jerusalem for treatment.”
The hospital was never built. The site was converted into a military base after the Netanyahu government came to power in 2009. From there, settlers quickly established a foothold by creating makeshift cultural center at the site, putting on lectures, readings and exhibits
Speaking to the AP, Ehud Olmert, the Israeli prime minister at the time the hospital was under discussion, said that was the tipping point.
“Once it is military installation, it is easier than to change its status into a new outpost, a new settlement and so on,” he said.
Olmert said Netanyahu — who has served as prime minister nearly uninterrupted since then — was “committed to entirely different political directions from the ones that I had,” he said. “They didn’t think about cooperation with the Palestinians.”
Palestinians say the land is theirs
The continued legalization of settlements and spiking settler violence — which rose by 27 percent in 2025, according to Israel’s military — have cemented a fearful status quo for West Bank Palestinians.
The land now home to Yatziv was originally owned by Palestinians from Beit Sahour, said the town’s mayor, Elias Isseid.
“These lands have been owned by families from Beit Sahour since ancient times,” he said.
Isseid worries more land loss is to come. Yatziv is the latest in a line of Israeli settlements to pop up around Beit Sahour, all of which are connected by a main highway that runs to Jerusalem without entering Palestinian villages. The new settlement “poses a great danger to our children, our families,” he said.
A bypass road, complete with a new yellow gate, climbs up to Yatziv. The peace park stands empty.









