Syria banks to be reconnected to SWIFT ‘in coming weeks’

Syrian banks will be reconnected to the world’s most important payments system in the coming weeks, marking a watershed moment for the country as it rejoins the global economy following a devastating 14 years of war and crippling sanctions.

In an interview with the Financial Times, the country’s central bank chief, Abdul Qadir al-Hasriya, said he has been working with the Finance Ministry on a wide-ranging six to 12-month “stabilisation plan” that aims to reform the banking sector and bring money into the country.

Key to the government’s plans is having the country’s financial system rejoin the SWIFT payments network, which al-Hasriya said would take place in a “matter of weeks”.

Syrian banks were disconnected from SWIFT in the early days of the civil war, when Western countries responded to the Assad regime’s crackdown on protesters by imposing crippling economic sanctions.

Blocking banks from sending and receiving international payments effectively severed the country’s links to the global financial system, hitting its economy hard.

Relinking Syrian banks to SWIFT will stimulate foreign trade, increase inflows of foreign currency and curb informal financial channels, according to Al-Hasriya, who was appointed central bank governor in April.

The news comes a few weeks after US president Donald Trump announced his shock decision to lift all Assad-era economic sanctions.