DAMASCUS: Syria’s finance minister said on Sunday the government would hike salaries for many public sector employees by 400 percent next month after completing an administrative restructuring of ministries to boost efficiency and accountability.
The increase, estimated to cost 1.65 trillion Syrian pounds, or about $127 million at current rates, will be financed by existing state resources plus a combination of regional aid, new investments, and efforts to unfreeze Syrian assets held abroad.
“(This is) the first step toward an emergency solution to the economic reality in the country,” Mohammed Abazeed, the finance minister in Syria’s caretaker government, told Reuters, adding that this month’s wages for public sector staff would be paid out this week.
These measures are part of a broader strategy by Syria’s new caretaker government to stabilize the country’s economy following 13 years of conflict and sanctions.
Salaries of Syria’s public sector employees under toppled President Bashar Assad’s regime were around $25 a month, putting them below the poverty line, along with the majority of the country’s population, Abazeed said.
The hike would follow a comprehensive evaluation of up to 1.3 million registered public sector employees to remove fictitious employees from the payroll and would affect those with sufficient expertise, academic qualifications, and the necessary skills for reconstruction.
Syria’s state treasury is facing liquidity challenges emerging from a war. The majority of money available in the central bank is Syrian currency, which has lost much of its value. However, the new government was promised assistance from regional and Arab countries, the minister said.
“The launch of investments in the country in the near future will also benefit the state treasury and allow us to finance this salary increase,” he said, adding the central bank currently has sufficient funds to finance the next few months.
The government expects to retrieve up to $400 million in frozen Syrian assets abroad, which could co-finance the initial government expenses.
Syria’s caretaker government is also discussing exempting taxpayers, as much as possible, from penalties and interest and working on overhauling the tax system within the next three months to achieve tax justice for all taxpayers, with a first draft expected within four months.
“By the end of this year, we expect having a well-designed tax system that takes the interests of all taxpayers into account,” he added.
Syrian caretaker government to hike public sector salaries by 400% next month
https://arab.news/4mt3w
Syrian caretaker government to hike public sector salaries by 400% next month
- Increase will be financed by existing state resources plus a combination of regional aid, new investments, and efforts to unfreeze Syrian assets held abroad
- Measures are part of a broader strategy by Syria’s new caretaker government to stabilize the country’s economy
Iran temporarily closes airspace to most flights
WASHINGTON: Iran temporarily closed its airspace to all flights except international ones to and from Iran with official permission at 5:15 p.m. ET on Wednesday, according to a notice posted on the Federal Aviation Administration’s website.
The prohibition is set to last for more than two hours until 7:30 p.m. ET, or 0030 GMT, but could be extended, the notice said. The United States was withdrawing some personnel from bases in the Middle East, a US official said on Wednesday, after a senior Iranian official said Tehran had warned neighbors it would hit American bases if Washington strikes.
Missile and drone barrages in a growing number of conflict zones represent a high risk to airline traffic. India’s largest airline, IndiGo said some of its international flights would be impacted by Iran’s sudden airspace closure. A flight by Russia’s Aeroflot bound for Tehran returned to Moscow after the closure, according to tracking data from Flightradar24.
Earlier on Wednesday, Germany issued a new directive cautioning the country’s airlines from entering Iranian airspace, shortly after Lufthansa rejigged its flight operations across the Middle East amid escalating tensions in the region.
The United States already prohibits all US commercial flights from overflying Iran and there are no direct flights between the countries. Airline operators like flydubai and Turkish Airlines have canceled multiple flights to Iran in the past week. “Several airlines have already reduced or suspended services, and most carriers are avoiding Iranian airspace,” said Safe Airspace, a website run by OPSGROUP, a membership-based organization that shares flight risk information.
“The situation may signal further security or military activity, including the risk of missile launches or heightened air defense, increasing the risk of misidentification of civil traffic.” Lufthansa said on Wednesday that it would bypass Iranian and Iraqi airspace until further notice while it would only operate day flights to Tel Aviv and Amman from Wednesday until Monday next week so that crew would not have to stay overnight.
Some flights could also be canceled as a result of these actions, it added in a statement. Italian carrier ITA Airways, in which Lufthansa Group is now a major shareholder, said that it would similarly suspend night flights to Tel Aviv until Tuesday next week.
