Donations and Despair: Syria’s Northwest Tries to Rebuild after Quake

Intisar Sheikho, stands on rubble of the building where her brother Musheer and his family lived, that collapsed from last month's deadly earthquake in the opposition-held town of Jandaris, Syria March 12, 2023. (Reuters)
Intisar Sheikho, stands on rubble of the building where her brother Musheer and his family lived, that collapsed from last month's deadly earthquake in the opposition-held town of Jandaris, Syria March 12, 2023. (Reuters)
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Donations and Despair: Syria’s Northwest Tries to Rebuild after Quake

Intisar Sheikho, stands on rubble of the building where her brother Musheer and his family lived, that collapsed from last month's deadly earthquake in the opposition-held town of Jandaris, Syria March 12, 2023. (Reuters)
Intisar Sheikho, stands on rubble of the building where her brother Musheer and his family lived, that collapsed from last month's deadly earthquake in the opposition-held town of Jandaris, Syria March 12, 2023. (Reuters)

Hussein Mankawi has little hope he will ever rebuild his home and food distribution businesses in the northwest Syrian city of Jandaris after they were reduced to rubble by last month's deadly earthquake, wiping out his life's work.

"What can we do? We'll put up a tent instead. There is nothing but tents," he said, standing by the mangled ruins of his home in the rebel-held region.

The Feb. 6 earthquakes were the worst modern-day natural disasters to strike Syria and Türkiye, killing more than 56,000 people across the two countries.

Türkiye has pledged state-led efforts to rebuild more than 300,000 homes within the first year and the cash-strapped Syrian government has created a compensation fund for victims and offered temporary housing to the displaced.

But this help is unlikely to reach Syria's northwest, an enclave controlled by rival anti-government opposition factions and home to 4.5 million people -- 2 million of whom lived in tented camps even before the quake struck, according to the United Nations.

International organizations struggle to access the zone regularly and there has been no visible centralized reconstruction effort.

The UN says more than 100,000 people have been displaced in the region since the first quake struck.

On the edge of destitution and with nowhere to turn, residents are trying to make do on their own.

Mankawi is recovering what possessions he can with help from a local entrepreneur who agreed to move the rubble of his home in return for keeping the metal inside it - a deal underscoring the deep deprivation in the area.

"No-one is helping us at all. We've seen nothing," Mankawi said.

Obstacles

Damage has not been limited to homes.

In Jandaris, one of the hardest-hit areas, half of the 48 schools required reconstruction or repairs, as did more than 20 kilometers of water and sanitation networks and most of the city's roads, said Mahmoud Haffar, head of the local council.

But he said local authorities did not have the resources to rebuild.

"Frankly, local capabilities are very limited and (rebuilding) will require international help... there is no clear funding for reconstruction and repairs," he said.

Donors at an EU-led conference on Monday pledged 7 billion euros ($7.5bln) to help reconstruct Türkiye.

But the bloc has sanctions on Damascus in place and said it would only finance humanitarian assistance and early recovery but not full-scale reconstruction for as long as there is no political dialogue between Syrian President Bashar al-Assad and his adversaries.

Foreign state funding for reconstruction in the region held by opposition factions, who seek Assad's ouster, faces additional stumbling blocks, according to three diplomats working on Syria.

The presence of rival armed groups in the region is one of the main issues, they say, noting that the most powerful group, Hayat Tahrir al-Sham, is designated a terrorist organization by the US and United Nations.

Most international aid that has reached the area over the past decade has been earmarked for humanitarian relief, not reconstruction, a trend that was likely to continue, according to Karam Shaar, a political economist at the Middle East Institute think-tank.

"In the foreseeable future, people will continue to rely on private funding to reconstruct their buildings or just move to tents instead," he said.

Crowdfunded recovery

Before the quakes struck, Syrian NGO Molham Team was building a sprawling 1,500-unit housing complex in Azaz, driven by the ambitious goal of relocating families from tents into formal housing, team member Baraa Baboli said.

It was inspired by the realization that Syrians could not wait for help from outside, and was financed through online crowdfunding.

After the quake, Molham launched a new appeal, raising more than $11 million intended for the construction of an additional 2,300 units between Idlib, Salqin and Harem - all areas hit hard by the quake.

Meanwhile, property developers in the area say they have begun to adapt their construction plans to fit quake trauma and potential shortages in raw materials.

Abdo Zamzam, the director of a local construction company, said projects before the quake were mostly four- to five-story buildings but consultations with locals showed most people now wanted to live in one- or two-story buildings they deemed safer.

Price rises

Construction materials in the enclave are almost entirely imported from Türkiye, raising fears the Syrian zone could face shortages when mass reconstruction begins across the border or struggle to pay higher prices.

Prices of cement and metal have already risen by around 30 percent, according to developers and a Syrian border official, from $85 to more than $120 for a ton of cement, and from $600 to more than $800 for a ton of metal.

A senior Turkish official told Reuters authorities had not restricted exports of materials needed for construction - such as cement, sand and tiles - and had no plans to do so as these materials were abundant in Türkiye.

At the Turkish-Syrian border crossing at Cilvegozu, long lines of trucks, many loaded with cement from factories based in southern Türkiye purchased by private traders in Syria, have waited to cross into northwest Syria.

At the same crossing, tens of thousands of Syrians have crossed back into their homelands, many to rebuild their lives in the northwest, risking more pressure on already-scarce housing.

About 55,000 Syrians have returned since mid-February, Syrian opposition border official Mazen Alloush said, adding they had not yet recorded any trips back to Türkiye.

Ahmad al-Ahmad, a 22-year-old Syrian who worked as a tailor in the devastated Turkish city of Kahramanmaras, said he was moving back to Syria after both his home and workplace were heavily damaged.

He said he did not know what awaited him.

"We were looking for a better life," he said as he waited to be let through the border with his family.

"We migrated in order to settle down and now we are back to square one; displacement after displacement."



Iran's Revolutionary Guards Extend Control over Tehran's Oil Exports

Iranians drive as smog obscures the skyline in Tehran, Iran, 18 December 2024. EPA/ABEDIN TAHERKENAREH
Iranians drive as smog obscures the skyline in Tehran, Iran, 18 December 2024. EPA/ABEDIN TAHERKENAREH
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Iran's Revolutionary Guards Extend Control over Tehran's Oil Exports

Iranians drive as smog obscures the skyline in Tehran, Iran, 18 December 2024. EPA/ABEDIN TAHERKENAREH
Iranians drive as smog obscures the skyline in Tehran, Iran, 18 December 2024. EPA/ABEDIN TAHERKENAREH

Iran's Revolutionary Guards have tightened their grip on the country's oil industry and control up to half the exports that generate most of Tehran's revenue and fund its proxies across the Middle East, according to Western officials, security sources and Iranian insiders.

All aspects of the oil business have come under the growing influence of the Guards, from the shadow fleet of tankers that secretively ship sanctioned crude, to logistics and the front companies selling the oil, mostly to China, according to more than a dozen people interviewed by Reuters.
The extent of the Iranian Revolutionary Guard Corps' (IRGC) control over oil exports has not previously been reported.

Despite tough Western sanctions designed to choke Iran's energy industry, reimposed by former US President Donald Trump in 2018, Iran generates more than $50 billion a year in oil revenue, by far its largest source of foreign currency and its principal connection to the global economy.

Six specialists - Western officials and security experts as well as Iranian and trading sources - said the Guards control up to 50% of Iran's oil exports, a sharp increase from about 20% three years ago. The sources declined to be identified due to the sensitivity of the matter.

Three of the estimates were based on intelligence documents about Iranian shipping while others derived their figures from monitoring shipping activity by tankers and companies linked to the IRGC. Reuters was unable to determine the exact extent of the IRGC's control.

The IRGC's growing domination of the oil industry adds to its influence in all areas of Iran's economy and also makes it harder for Western sanctions to hit home - given the Guards are already designated as a terrorist organization by Washington.

Trump's return to the White House in January, however, could mean tougher enforcement of sanctions on Iran's oil industry. The country's oil minister said Tehran is putting measures in place to deal with any restrictions, without giving details.

As part of their expansion in the industry, the Guards have muscled in on the territory of state institutions such as the National Iranian Oil Company (NIOC) and its NICO oil trading subsidiary, according to four of the sources.

When sanctions hit Iran's oil exports years ago, the people running NIOC and the wider industry were specialized in oil rather than how to evade sanctions, added Richard Nephew, a former deputy special envoy for Iran at the US State Department.

"The IRGC guys were much, much better at smuggling, just terrible at oil field management, so they began to get a larger control of oil exports," said Nephew, who is now a researcher at Columbia University.
The IRGC, NIOC, NICO and Iran's foreign ministry did not respond to requests for comment.
RISK APPETITE
The IRGC is a powerful political, military and economic force with close ties to Supreme Leader Ali Khamenei.
The Guards exert influence in the Middle East through their overseas operations arm, the Quds Force, by providing money, weapons, technology and training to allies Hezbollah in Lebanon, Hamas in Gaza, Yemen's Houthis and militias in Iraq.
While Israel has killed a number of senior IRGC commanders over the past year, the oil specialists in its ranks have been able to continue their operations, two Western and two Iranian sources said.
The Iranian government began allotting oil, instead of cash, to the IRGC and Quds Force around 2013, according to Nephew.
The government was under budgetary pressure then because it was struggling to export oil due to Western sanctions imposed over Iran's nuclear program.
The IRGC proved adept at finding ways to sell oil even under sanctions pressure, said Nephew, who was actively involved in tracking Iranian oil activities then.
Iranian oil revenues hit $53 billion in 2023 compared with $54 billion in 2022, $37 billion in 2021 and $16 billion in 2020, according to estimates from the US government's Energy Information Administration.
This year, Tehran's oil output has topped 3.3 million barrels per day, the highest since 2018, according to OPEC figures, despite the Western sanctions.
China is Iran's biggest buyer of oil, with most going to independent refineries, and the IRGC has created front companies to facilitate trade with buyers there, all the sources said.
Oil export revenues are split roughly evenly between the IRGC and NICO, said one source involved in Iranian oil sales to China. The IRGC sells oil at a $1-$2 barrel discount to prices offered by NICO because buyers take a bigger risk buying from the Guards, the person said.
"It depends on a buyer's risk appetite, the higher ones will go for the IRGC, which the US designates as a terrorist group."
Two Western sources estimated that the IRGC offered an even bigger discount, saying it was $5 per barrel on average but could be as much as $8.
The oil is allocated directly by the government to the IRGC and Quds Force. It's then up to them to market and ship the oil - and work out a mechanism for disbursing the revenue, according to the sources and intelligence documents seen by Reuters.
NIOC gets a separate allocation.
CHINESE FRONT
One of the front companies used is China-based Haokun. Operated by former Chinese military officials, it remains an active conduit for IRGC oil sales into China, despite Washington hitting it with sanctions in 2022, two of the sources said.
The US Treasury said China Haokun Energy had bought millions of barrels of oil from the IRGC-Quds Force and was sanctioned for having "materially assisted, sponsored, or provided financial, material, or technological support for, or goods or services to or in support of, the IRGC-QF".
In one oil transaction dated March 16, 2021 involving Haokun and parties including Turkish company Baslam Nakliyat - which is under US sanctions for its trading links to the IRGC - a payment was processed via US bank JP Morgan and Turkish lender Vakif Katilim, according to the intelligence documents.
The transaction took place before the companies were sanctioned. Reuters has no indication JP Morgan or Vakif Katilim were aware of the Iranian connection - highlighting the risks of companies getting inadvertently caught up in the shadow trade.
JP Morgan declined to comment. Vakif Katilim said in a statement: "Our bank performs its activities within the framework of national and international banking rules."
Haokun declined to comment. Baslam did not respond to a request for comment.
'GHOST FLEET'
Quds Force commander Qassem Soleimani, who was killed in a US strike in Baghdad in 2020, had set up a clandestine headquarters and inaugurated that year for the unit's oil smuggling activities, initially staffed by former oil minister Rostam Ghasemi, according to the intelligence documents.
Reuters could not determine where all the oil money funneled through the IRGC goes. The IRGC headquarters and day-to-day operations has an annual budget of around $1 billion, according to assessments from two security sources tracking IRGC activities.
They estimated that the IRGC budget for Hezbollah was another $700 million a year.
"Exact figures remain undisclosed, as Hezbollah conceals the funds it receives. However, estimates are that its annual budget is approximately $700 million to $1 billion. Around 70%-80% of this funding comes directly from Iran," Shlomit Wagman, former director general of Israel’s Money Laundering and Terrorism Financing Prohibition Authority, said separately.
Hezbollah did not respond to a request for comment.
The former Secretary General of Hezbollah, Hassan Nasrallah, who was killed in an Israeli airstrike, said Iran provided the group's budget, including for salaries and weapons.
Iran's main tanker operator NITC, which previously played a key role in exports, also now provides services to the IRGC.
It executes ship-to-ship transfers of Iranian oil onto vessels operated by the IRGC to ship crude into China, according to sources and ship-tracking data. Such transfers are common practice to help disguise the origin of the oil tankers carry.
NITC did not respond to a request for comment.
In August, Israel's National Bureau for Counter Terror Financing, part of the country's defense ministry, imposed sanctions on 18 tankers it said were involved in transporting oil belonging to the Quds Force.
In October, the US Treasury slapped sanctions on 17 separate tankers it said formed part of Iran's "ghost fleet", outside of NITC vessels. It followed up with sanctions on a further 18 tankers on Dec. 3.