Kuwait's Zain Secures Syrian Telecoms Licence in $1.5 Billion Deal

Three sources familiar with the matter told Reuters that Zain Group, the Kuwaiti telecommunications operator, has secured a licence to operate a mobile network in Syria. Bloomberg separately reported that the total investment commitment exceeds $1.5 billion, making it the largest foreign direct investment in Syria since the ousting of the Assad regime.

Licence Terms and Ownership Structure

Under the 20-year licence agreement, Zain will hold a 75 percent stake in the local operating entity, while the Syrian Sovereign Wealth Fund retains the remaining 25 percent. The deal also grants Zain ownership of the infrastructure, facilities, and equipment previously belonging to MTN Syria, which had operated in the country for more than two decades.

Financial Breakdown of the Investment

According to Bloomberg, Zain will pay $747 million for the operating licence and commit an additional $800 million to develop mobile network infrastructure across Syria, including the rollout of fifth-generation (5G) services. Zain engineers have already completed a nationwide field survey of the MTN network, covering telecommunications towers, backup power generators, solar energy stations, and communications equipment throughout the country.

Regional Context and Growing Investment Openness

Zain's entry comes amid a broader wave of international and Gulf engagement with Syria, following the lifting of most international sanctions as President Ahmad al-Sharaa pursues closer foreign ties. Saudi telecoms operator STC had previously signed a memorandum of understanding with the Syrian government to invest approximately $800 million in the fibre-optic network project known as Silk Link. Syria is also seeking foreign investors for a separate $1 billion project aimed at upgrading mobile networks and modernising postal services.