The diplomatic overtures are a calculated exchange. U.S. State Department spokesperson Samuel Werberg, speaking from Riyadh, stated, "The Syrian leadership has taken steps that make us hopeful," indicating that Washington has conveyed its demands and awaits Damascus's response, without necessitating a direct meeting between President Trump and Syrian interim President Ahmad al-Sharaa. Concurrently, the Syrian government has signaled openness to economic liberalization and proposed regional security arrangements. President Trump has framed the move as wanting to "give them a fresh start," a sentiment reportedly influenced by lobbying from American and regional leaders, including Turkey's President Recep Tayyip Erdoğan, suggesting a broader recalibration of Middle East policy.
The allure of sanctions relief is undeniable. For a nation ravaged by over a decade of war, with collapsing infrastructure and profound economic dislocation, the prospect of renewed Gulf investment and Western aid is being portrayed by Syrian officials as a panacea. However, this view is dangerously simplistic. Analyst Omar Kaddour, writing in Al-Modon, argues that sanctions, while exacerbating suffering, are not the sole cause of Syria's economic woes. Systemic corruption, institutional collapse, destroyed infrastructure, and a fragmented security landscape are foundational issues that predate and transcend U.S. policy. Even with sanctions lifted, Syria would require an estimated $10 billion annually to initiate meaningful reconstruction, against a backdrop of nearly $500 billion in total post-war damage.
While welcomed, the recent surge in the Syrian pound, from 11,500 to 10,600 per dollar in Damascus and Aleppo, may prove to be a "currency mirage." The Central Bank of Syria's maintenance of an official exchange rate significantly above black market levels, coupled with directives on cash withdrawals, has influenced market sentiment. However, experts warn that without deep structural reforms, this rebound could be ephemeral, and any significant influx of aid without parallel growth in production and employment could trigger severe inflationary pressures, disproportionately harming the poorest Syrians.
Beyond the economic sphere lies a political minefield. The transitional government under Ahmad al-Sharaa is navigating a five-year roadmap with an uncertain outcome. Critical questions about its capacity to guarantee security, implement legal reforms, and address transitional justice remain. The continued presence of warlordism and militias, acknowledged by government references to "remnants" and "unruly factions," casts doubt on Damascus's ability to ensure the stable environment necessary for attracting foreign investment, creating a credibility paradox.
While U.S. officials like Werberg tout a "historic opportunity" for Syrians in a post-Assad era free from Iranian dominance, and Gulf states signal investment readiness, most anticipated funds will likely be foreign aid rather than private capital. Kaddour notes that few private investors will risk capital in a country lacking credible legal guarantees and transparent institutions. Thus, while lifting U.S. sanctions might offer momentary economic relief and a symbolic gesture towards normalization, it is far from a magic bullet. Proper recovery for Syria will demand genuine political will, inclusive governance, a functioning judiciary, and a secure environment for all its citizens, lest this "fresh start" merely become, as Kaddour warns, a return to "the same bottle... just with a new label."