Saudi Arabia’s growing role in Syria’s post-war reconstruction took a major step on Thursday with the launch of the 2025 Saudi-Syrian Investment Forum in Damascus, underscoring Crown Prince Mohammed bin Salman’s push to anchor Riyadh’s influence in shaping Syria’s future economy.
Held under the Crown Prince’s directive, the forum marks a significant political and economic milestone, signaling the Kingdom’s intent to forge a sustainable partnership with the Syrian government and position itself as a key driver of reconstruction and development in the war-ravaged country.
High-Level Delegation and Billion-Dollar Deals
A Saudi delegation led by Investment Minister Khalid Al-Falih arrived in Damascus on Wednesday, accompanied by more than 120 investors. The high-level visit, expected to result in the signing of dozens of agreements worth billions of dollars, was met with an official reception by Syria’s ministers of economy, energy, and telecommunications.
Also greeting the delegation were Saudi Ambassador to Syria Faisal Al-Mujfel, embassy officials, and figures from both public and private sectors.
The forum, announced earlier by Saudi Arabia’s Ministry of Investment, aims to deepen bilateral economic ties and identify joint investment opportunities across key sectors.
Saudi Investment on the Ground
During the visit, Al-Falih laid the foundation stone for the “'Fayhaa'” white cement factory in Adra Industrial City, northeast of Damascus. The facility, slated for completion within months, is among the first major Saudi investments in Syria following a series of exploratory business visits.
Speaking to reporters at the site, Al-Falih said dozens of Saudi companies were ready to invest in Syria across construction, energy, agriculture, IT, and industrial sectors.
“We will announce tomorrow the planned investment volumes for the Syrian market,” he added.
The white cement plant is valued at around 100 million riyals ($27 million) with a projected annual output of 150,000 tons. It is expected to create 130 direct jobs and more than 1,000 indirect positions.
Reviving a War-Torn Economy
The forum comes as the Syrian government, now led by President Ahmed Al-Sharaa following the ouster of Bashar al-Assad late last year, seeks to attract international investors to help rebuild a country devastated by 14 years of war.
While UN estimates put Syria’s reconstruction needs at $400 billion, Damascus says the actual cost could reach $600 billion.
Riyadh has also led high-level diplomatic efforts to ease Western sanctions on Syria. The campaign culminated in US President Donald Trump’s decision to lift certain restrictions during his recent visit to Riyadh, following discussions with the Saudi Crown Prince.
"Start of a New Chapter"
Issam Zuhair Al-Ghreiwati, Deputy Chairman of the Syrian Chambers of Commerce and head of Damascus’s Chamber of Commerce, called the Saudi delegation “the largest and most significant from any Arab country.”
“This is the most important economic event in Syria since the liberation and the relaunch of our economy,” Al-Ghreiwati told Asharq Al-Awsat.
He said Saudi investors were returning after 14 years of absence, marking a “new era of cooperation” between the two countries.
“Syria was off the investment map due to the previous regime,” he said. “Now, with the rise of a new government and the immense financial surpluses in Saudi Arabia looking for emerging markets, we are entering what could become the largest Arab economic partnership.”
Al-Ghreiwati said Syria had reformed investment laws, liberalized foreign exchange controls, and modernized trade regulations, rapidly shifting toward a free-market economy. “We now have one of the most attractive investment landscapes in the region,” he said.
Saudi Commitment Seen as Transformational
He added that the most critical takeaway from the forum was Saudi Arabia’s confidence in Syria’s recovery. “This isn’t just about money; it’s about belief in Syria’s future,” he said. “The Kingdom sees Syria as a nation rebounding from crisis, not a liability. There’s no turning back.”
The private sector, he said, sees this event as “the official green light for reconstruction, with Saudi Arabia leading the economic charge.”
Challenges Remain
Despite the optimism, experts warn that Syria’s fragile economy faces major hurdles, including inflation, currency volatility, and limited purchasing power.
Mohammad Al-Hallak, deputy head of the Economic Sciences Association and former vice president of Damascus’s Chamber of Commerce, said the focus now must be on restoring industrial output and job creation.
“We need to restart the production cycle quickly,” Al-Hallak told Asharq Al-Awsat. “This forum must go beyond talks. We need actionable partnerships.”
He urged Saudi Arabia to support Syrian exports through specialized exhibitions and to foster demand for Syrian products. “Increased demand drives production, which creates jobs and strengthens purchasing power,” he said.
Al-Hallak also called for the creation of a Saudi-Syrian joint bank to facilitate cross-border financial transactions and investment flows. “That would be the most practical first step to convert goodwill into real momentum,” he said.
‘Syria Is Thirsty for Investment’
“There are enormous investment opportunities here—in tourism, trade, industry, agriculture, insurance, banking, and the stock market,” Al-Hallak said. “Syria is one of the most investment-hungry nations in the world right now.”
He emphasized that Riyadh’s leadership sees Syria not through a lens of transactional interest but as a country to support and integrate into a shared economic future.
“Crown Prince Mohammed bin Salman is not dealing with Syria as an equal party in negotiation,” he said. “He sees it as a responsibility—Saudi Arabia is stepping in to help rebuild, not to exploit.”
When asked if there was an estimate of the total investment Syria needs in the next phase, Al-Hallak replied: “There’s no ceiling. Syria will absorb every dollar that comes its way. This is just the beginning.”
