JEDDAH: Syria will receive larger World Bank grant allocations in 2027 after meeting reform targets tied to the lender’s concessional financing program, the country’s finance minister said.
The successful review qualifies Syria for a 2027 incentive allocation under the Sustainable Development Finance Policy, increasing grant funding from the International Development Association, the World Bank’s fund for low-income countries, Syrian Arab News Agency reported.
The decision marks another milestone in Syria’s post-conflict economic recovery and comes as the World Bank expands its support for reconstruction following the fall of the former regime in December 2024.
Since early 2025, the new government has pursued a broad reform agenda focused on strengthening public institutions, restoring macroeconomic stability and supporting long-term reconstruction.
In a statement, Finance Minister Mohammed Yisr Barnieh said: “The World Bank has completed its review of Syria’s Performance and Policy Actions for fiscal year 2026 under the International Development Association’s Sustainable Development Finance Policy, confirming satisfactory implementation of agreed actions in the areas of public debt sustainability, debt management and transparency.”
Following the review, Barnieh added, Syria will receive the incentive allocation for 2027 under the SDFP framework, resulting in increased grant allocations from the IDA for 2027.
“The minister noted that the achievement reflects the government’s commitment to strengthening public financial management, consolidating transparency principles, and implementing reforms that support financial sustainability and contribute to Syria’s economic recovery,” SANA reported.
The agency added that the minister expressed gratitude to national institutions and international partners for their collaborative efforts in advancing the reforms.
World Bank support for Syria
In April, Barnieh said the World Bank had approved two additional projects, bringing the total pipeline to 11, following earlier approvals for a $146 million electricity grid reform project and a $20 million public financial management strengthening project.
According to an April statement by the World Bank, the lender approved $225 million in International Development Association grant financing to help Syria improve public services in its water and health sectors.
The financing package comprises two projects aimed at restoring reliable water and sanitation services and expanding access to quality health care.
“Both projects are expected to benefit about 4.5 million Syrians across the country,” the World Bank said in the release.
Jean-Christophe Carret, the World Bank’s Middle East division director, said at the time that restoring physical infrastructure and resuming the delivery of essential public services are key pillars of Syria’s Statement of National Priorities.
The expanded World Bank financing also comes as Syria faces enormous reconstruction needs after nearly 14 years of conflict. According to the lender, the war damaged nearly one-third of the country’s pre-conflict capital stock, with direct physical damage to infrastructure and buildings estimated at $108 billion.
The World Bank estimates Syria’s recovery and reconstruction needs at about $216 billion, underscoring the scale of the country’s recovery challenge and the need for sustained international support.
