Central Bank Approves Electronic Payment and Digital Transformation System in Syria

The Central Bank of Syria announced the issuance of Decision No. 1124 by the General Secretariat of the Presidency of the Syrian Arab Republic, approving an electronic payment and digital transformation system. The decision aims to develop a modern national payment network and expand payment and transfer options for citizens and the business sector.

Regulatory Framework

According to the central bank, the system establishes regulatory and technical foundations for developing and linking payment services among financial institutions. It is based on licensing and regulating three main categories of entities operating within the system:

• Payment service providers
• Electronic money service providers
• Payment system operators

This licensing framework allows for the development of diverse payment services and solutions within a clear regulatory and supervisory environment.

Regulatory Sandbox for Innovation

The system, the central bank said, allows innovative financial activities and solutions to be tested within a supervised regulatory sandbox. This opens the door for innovation, competition, and investment in the financial and technology services sector before such solutions are rolled out more broadly.

Governance and User Protection

The system establishes requirements for governance, oversight, risk management, cybersecurity, and user protection, strengthening the safety of financial transactions and trust in digital services. The bank noted that the system preserves cash transactions and does not impose a specific payment method.

Prospects for Regional and International Integration

The system paves the way for future development of Syria's financial infrastructure to integrate with regional and international payment systems, in line with applicable legal, technical, and commercial requirements. This does not imply immediate access to international transfers or connectivity.

Minister of Communications and Information Technology Abdulsalam Haykal previously stated, on May 9, that Syria is gradually moving toward a global digital economy that supports development and keeps pace with the requirements of modern life, noting that modern financial technologies have become an essential basis for developing the economy, improving services, and raising the efficiency of daily transactions. He explained, as reported by SANA at the time, that discipline in procedures and transactions represents a fundamental basis for building trust in digital transformation and the modern financial economy.