RIYADH: Syria plans for state-owned economic enterprises to contribute over $2 billion per annum to the national budget within the next two to three years, the country’s finance minister revealed.
In a post on Facebook, Yisr Barnieh explained that the aim is for these companies to be overseen by boards primarily composed of independent experts, rather than government officials serving due to their public sector roles.
The ambition comes as Syria enters a new economic era, helped by the US lifting key economic sanctions on the country, which is expected to prompt large-scale financial flows, trade normalization, and reintegration into global markets.
The country’s economy was severely damaged by 14 years of conflict, with gross domestic product shrinking by over 50 percent since 2010 and gross national income per capita dropping to only $830 in 2024 — significantly below the global low-income benchmark.
While the Syrian economy is expected to grow by 1 percent in 2025, according to a World Bank report released in July, it still faces continued security challenges, liquidity constraints, and suspended foreign assistance.
In his Facebook post, Barnieh said: “We seek to lay the legal foundation that will help us transform these institutions and companies (absolute generalizations are not permissible) from loss-making companies in rigid, bureaucratic molds plagued by corruption, mismanagement, and waste of public resources, into successful, efficient, competitive companies that serve development.”
He added: “These companies are based on the highest levels of sound and disciplined governance and are provided with the independence, capabilities, tools, and incentives that enable them to grow through specialized, professional management— management built on experience, professionalism, and integrity, not favoritism.”
The comments came amid a meeting of a committee tasked with developing a legislative framework to regulate and enhance the work of government-owned economic companies.
“Our goal in developing a law regulating the work of government-owned economic companies is not to improve or update the existing systems for managing these institutions and companies. No, our goal is much deeper and more profound than that. Our goal is a radical, far-reaching change in the philosophy of managing and operating these companies,” Barnieh said.
The newly formed government has begun implementing steps to align the country’s macroeconomic, fiscal, and monetary policies, emphasizing transparent public fund management and prudent fiscal and monetary practices. It is also working to attract essential foreign investment and secure aid pledges to aid in economic recovery.
