Damascus, April 5 (SANA) – Syria’s economic recovery phase is giving rise to a new investment landscape, characterized by a range of promising projects across vital sectors such as housing, energy, agriculture, and industry. These ventures are expected to stimulate production and drive growth rates, meeting the rising demand for essential goods and services.
Despite persisting environmental challenges, market gaps are serving as incentives for high-quality investments, particularly in manufacturing, renewable energy, and technology, all of which support reconstruction efforts and provide added value to the national economy.
The investment climate: assets and legislation
Dr. Abdul Rahman Mohammed, Professor of Finance and Banking at Hama University’s Faculty of Economy, told SANA that Syria currently represents a blend of promising opportunities and existing hurdles. He noted that the country’s primary attractions remain its strategic geographic location, reconstruction requirements, regional trade agreements—such as the Greater Arab Free Trade Area (GAFTA)—and the availability of raw materials alongside low-cost labor.
Dr. Mohammed described the current legislative framework as a “double-edged sword.” While Investment Law No. 18 of 2021 and its amendments offer significant benefits, including customs and tax exemptions and facilities for foreign ownership, he pointed out that implementation gaps, overlapping jurisdictions, and the absence of certain modern regulations continue to impact investor confidence.
Success, he noted, depends on a project’s ability to meet local market needs. He highlighted the agricultural, food processing, and construction material sectors as highly feasible, alongside renewable energy which provides practical solutions to electricity shortages.
Challenges and strategic planning
Conversely, economic researcher Mohammed al-Salloum identified several critical challenges, describing the investment scene as highly sensitive to monetary instability and infrastructure weaknesses. He attributed these difficulties to a lack of organized financing, limited institutional support, and a scarcity of data regarding specific investment opportunities.
Al-Salloum emphasized that exchange rate fluctuations directly impact production costs and profit margins. To ensure sustainable growth, he stressed the necessity of simplifying administrative procedures, enhancing transparency, and developing industrial zones to support small and medium-sized enterprises (SMEs).
Regional perspectives and openness
Jordanian investor Mahmoud Freihat told SANA that Syria’s investment potential is significant on both Arab and international levels, particularly in construction, services, energy, and water sectors.
Freihat highlighted Jordan’s role as a vital gateway for Syrian trade, noting that the current openness of the Syrian market is attracting investors specifically toward the services sector. He concluded that while challenges remain, the Syrian environment holds substantial opportunities that—if met with the right conditions—can transform into productive projects supporting the path toward full economic recovery.
Kh.A
