World Bank: Rebuilding Syria to Cost Around $216 Billion 

Syria's Minister of Finance Mohammed Yisr Barnieh participates in the session "Rebuilding Syria: A Journey Towards Stability and Prosperity", during the IMF/World Bank annual meetings in Washington, DC, US, October 15, 2025. (Reuters)
Syria's Minister of Finance Mohammed Yisr Barnieh participates in the session "Rebuilding Syria: A Journey Towards Stability and Prosperity", during the IMF/World Bank annual meetings in Washington, DC, US, October 15, 2025. (Reuters)
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World Bank: Rebuilding Syria to Cost Around $216 Billion 

Syria's Minister of Finance Mohammed Yisr Barnieh participates in the session "Rebuilding Syria: A Journey Towards Stability and Prosperity", during the IMF/World Bank annual meetings in Washington, DC, US, October 15, 2025. (Reuters)
Syria's Minister of Finance Mohammed Yisr Barnieh participates in the session "Rebuilding Syria: A Journey Towards Stability and Prosperity", during the IMF/World Bank annual meetings in Washington, DC, US, October 15, 2025. (Reuters)

Rebuilding Syria after more than a decade of civil war is expected to cost about $216 billion, the World Bank said in a report published Tuesday.

The report, “Syria Physical Damage and Reconstruction Assessment 2011-2024”, presents the results of a rapid nationwide assessment across infrastructure and building assets, covering the period from 2011 to 2024.

Syria’s conflict has damaged nearly one-third of its pre-conflict gross capital stock, with direct physical damages to infrastructure, residential buildings, and non-residential buildings estimated at $108 billion, said the report.

The conclusions came two days after Syrian Finance Minister Mohammed Yisr Barnieh held meetings in Washington with World Bank representatives and discussed ways to support Syria’s economic and financial recovery. Syria aims to secure approximately $1 billion in grants from the World Bank over the next three years.

Among the categories assessed, the World Bank found that infrastructure was the hardest hit, accounting for 48% of total damage ($52 billion), followed by residential buildings ($33 billion) and non-residential buildings ($23 billion).

The governorates of Aleppo, Damascus countryside, and Homs were the most severely affected in terms of total damage.

Cost of reconstruction 10 times Syria’s GDP

The assessment said reconstruction costs of Syria’s damaged physical assets are projected to range between $140 billion and $345 billion, with a conservative best estimate of $216 billion. This includes $75 billion for residential buildings, $59 billion for non-residential structures, and $82 billion for infrastructure.

The governorates of Aleppo and Damascus countryside are expected to require the most significant reconstruction investments.

The assessment underscores the scale of the challenge and the immense need for international support as estimated physical reconstruction costs are nearly ten times Syria’s projected 2024 GDP.

The conflict has devastated Syria’s economy, with real GDP declining by nearly 53% between 2010 and 2022.

In nominal terms, GDP contracted from $67.5 billion in 2011 to an estimated $21.4 billion in 2024, as per Syria Macro-Fiscal Assessment published earlier this year.

“The challenges ahead are immense, but the World Bank stands ready to work alongside the Syrian people and the international community to support recovery and reconstruction,” said Jean-Christophe Carret, World Bank Middle East Division Director.

“Collective commitment, coordinated action, and a comprehensive, structured support program are critical to helping Syria on its path to recovery and long-term development,” he added.

For his part, Barnieh said the report provides a critical baseline of the massive scale of the destruction and of the reconstruction costs ahead.

“Now, more than ever, it is imperative for the international community to mobilize support and partnership to help Syria restore essential infrastructure, revitalize communities, and lay the foundation for a more resilient future for its people,” he noted.

Given the protracted conflict and related methodological constraints, the report findings are subject to significant uncertainty.

The report does not provide detailed disaggregation by sectors or more detailed asset types. It is intended to provide an estimate of the overall scale of damage and reconstruction costs, and to inform discussions on recovery planning.

The assessment was prepared with financial and technical support from the World Bank’s Global Facility for Disaster Reduction and Recovery (GFDRR).



Leading Harvard Trade Economist Says Saudi Arabia Holds Key to Success in Fragmented Global Economy

Professor Pol Antràs speaks during a panel discussion at the AlUla Conference for Emerging Market Economies (Asharq Al-Awsat).
Professor Pol Antràs speaks during a panel discussion at the AlUla Conference for Emerging Market Economies (Asharq Al-Awsat).
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Leading Harvard Trade Economist Says Saudi Arabia Holds Key to Success in Fragmented Global Economy

Professor Pol Antràs speaks during a panel discussion at the AlUla Conference for Emerging Market Economies (Asharq Al-Awsat).
Professor Pol Antràs speaks during a panel discussion at the AlUla Conference for Emerging Market Economies (Asharq Al-Awsat).

Harvard University economics professor Pol Antràs said Saudi Arabia represents an exceptional model in the shifting global trade landscape, differing fundamentally from traditional emerging-market frameworks. He also stressed that globalization has not ended but has instead re-formed into what he describes as fragmented integration.

Speaking to Asharq Al-Awsat on the sidelines of the AlUla Conference for Emerging Market Economies, Antràs said Saudi Arabia’s Vision-driven structural reforms position the Kingdom to benefit from the ongoing phase of fragmented integration, adding that the country’s strategic focus on logistics transformation and artificial intelligence constitutes a key engine for sustainable growth that extends beyond the volatility of global crises.

Antràs, the Robert G. Ory Professor of Economics at Harvard University, is one of the leading contemporary theorists of international trade. His research, which reshaped understanding of global value chains, focuses on how firms organize cross-border production and how regulation and technological change influence global trade flows and corporate decision-making.

He said conventional classifications of economies often obscure important structural differences, noting that the term emerging markets groups together countries with widely divergent industrial bases. Economies that depend heavily on manufacturing exports rely critically on market access and trade integration and therefore face stronger competitive pressures from Chinese exports that are increasingly shifting toward alternative markets.

Saudi Arabia, by contrast, exports extensively while facing limited direct competition from China in its primary export commodity, a situation that creates a strategic opportunity. The current environment allows the Kingdom to obtain imports from China at lower cost and access a broader range of goods that previously flowed largely toward the United States market.

Addressing how emerging economies should respond to dumping pressures and rising competition, Antràs said countries should minimize protectionist tendencies and instead position themselves as committed participants in the multilateral trading system, allowing foreign producers to access domestic markets while encouraging domestic firms to expand internationally.

He noted that although Chinese dumping presents concerns for countries with manufacturing sectors that compete directly with Chinese production, the risk is lower for Saudi Arabia because it does not maintain a large manufacturing base that overlaps directly with Chinese exports. Lower-cost imports could benefit Saudi consumers, while targeted policy tools such as credit programs, subsidies, and support for firms seeking to redesign and upgrade business models represent more effective responses than broad protectionist measures.

Globalization has not ended

Antràs said globalization continues but through more complex structures, with trade agreements increasingly negotiated through diverse arrangements rather than relying primarily on multilateral negotiations. Trade deals will continue to be concluded, but they are likely to become more complex, with uncertainty remaining a defining feature of the global trading environment.

Interest rates and artificial intelligence

According to Antràs, high global interest rates, combined with the additional risk premiums faced by emerging markets, are constraining investment, particularly in sectors that require export financing, capital expenditure, and continuous quality upgrading.

However, he noted that elevated interest rates partly reflect expectations of stronger long-term growth driven by artificial intelligence and broader technological transformation.

He also said if those growth expectations materialize, productivity gains could enable small and medium-sized enterprises to forecast demand more accurately and identify previously untapped markets, partially offsetting the negative effects of higher borrowing costs.

Employment concerns and the role of government

The Harvard professor warned that labor markets face a dual challenge stemming from intensified Chinese export competition and accelerating job automation driven by artificial intelligence, developments that could lead to significant disruptions, particularly among younger workers. He said governments must adopt proactive strategies requiring substantial fiscal resources to mitigate near-term labor-market shocks.

According to Antràs, productivity growth remains the central condition for success: if new technologies deliver the anticipated productivity gains, governments will gain the fiscal space needed to compensate affected groups and retrain the workforce, achieving a balance between addressing short-term disruptions and investing in long-term strategic gains.


Aljadaan: Emerging Markets Account for 70% of Global Growth

Al-Jadaan speaking to the attendees at the "AlUla Conference for Emerging Market Economies" (Asharq Al-Awsat
Al-Jadaan speaking to the attendees at the "AlUla Conference for Emerging Market Economies" (Asharq Al-Awsat
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Aljadaan: Emerging Markets Account for 70% of Global Growth

Al-Jadaan speaking to the attendees at the "AlUla Conference for Emerging Market Economies" (Asharq Al-Awsat
Al-Jadaan speaking to the attendees at the "AlUla Conference for Emerging Market Economies" (Asharq Al-Awsat

Saudi Minister of Finance Mohammed Aljadaan stressed Sunday that the world economy is going through a “profound transition,” saying emerging markets and developing economies now account for nearly 60 percent of the global Gross Domestic Product (GDP) in purchasing power terms and over 70 percent of global growth.

In his opening remarks at the AlUla Conference for Emerging Market Economies, organized by the Saudi Ministry of Finance and the IMF in AlUla, the minister said these economies have become an increasingly important driver of global growth with their share of global economy more than doubling since 2010.

“Today, the 10 emerging economies in the G20 alone account for more than half of the world growth. Yet, they face a more complex and fragmented environment, elevated debt levels, slower trade growth and increasing exposure to geopolitical shocks.”

“Unfortunately, more than half of low income countries are either in or at the risk of debt distress. At the same time global trade growth has slowed at around half of what it was pre the pandemic,” Aljadaan added.

The Finance Minister stressed that the Saudi experience over the past decade has reinforced three lessons that may be relevant to the discussions at the two-day conference, which brings together a select group of ministers and central bank governors, leaders of international organizations, leading investors and academics.

“First, macroeconomic stability is not the enemy of growth. It is actually the foundation,” he said.

“Structural reforms deliver results only when institutions deliver. So there is no point of reforming ... if the institutions are unable to deliver,” he stated.

Finally, he said that “international cooperation matters more, not less, in a fragmented world.”


Georgieva from AlUla: Growth Still Lacks Pre-pandemic Levels

Kristalina Georgieva speaking to attendees at the second edition of the AlUla Conference for Emerging Market Economies (Asharq Al-Awsat)
Kristalina Georgieva speaking to attendees at the second edition of the AlUla Conference for Emerging Market Economies (Asharq Al-Awsat)
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Georgieva from AlUla: Growth Still Lacks Pre-pandemic Levels

Kristalina Georgieva speaking to attendees at the second edition of the AlUla Conference for Emerging Market Economies (Asharq Al-Awsat)
Kristalina Georgieva speaking to attendees at the second edition of the AlUla Conference for Emerging Market Economies (Asharq Al-Awsat)

International Monetary Fund (IMF) Managing Director Kristalina Georgieva said Sunday that world growth still lacks pre-pandemic levels, expressing concern as she expected more shocks amid high spending and rising debt levels in many countries.

Georgieva spoke at the AlUla Conference for Emerging Market Economies, organized by the Saudi Ministry of Finance and the IMF in AlUla.

The two-day conference brings together a select group of ministers and central bank governors, leaders of international organizations, leading investors and academics to deliberate on policies to global stability, prosperity, and multilateral collaboration.

Georgieva said that the conference was launched last year in recognition of the growing role of emerging market economies in a world of sweeping transformations.

“I came out of this gathering .... With a sense of hope for the pragmatic attitude and determination to pursue good policies and build strong institutions,” she said.

Georgieva stressed that “good policies pay off,” and said that growth rates across emerging economies reached four percent this year, exceeding by a large margin those of advanced economies that are around 1.5 percent.