Syria's Central Bank Meets US Treasury Delegation

The governor of the Central Bank of Syria received a delegation from the US Department of the Treasury, in a series of meetings that included representatives of banks, exchange companies, and payment firms operating in Syria. The discussions covered recent developments in banking and monetary affairs, the state of communication with international correspondent banks, and ways to facilitate foreign trade financing.

Topics of the Meetings

The two sides discussed the operating mechanisms of exchange companies and the regulatory requirements related to customers, along with the technical readiness of payment companies and their business models, and reviewed the electronic payment and transfer system in place in Syria.

US Commitment to Cooperation

The American side affirmed its commitment to continued engagement with US banks and companies to facilitate their entry into the Syrian market, in a way that strengthens economic and banking cooperation between the two countries and supports Syria's gradual integration into the international financial system.

An Academic Assessment

Dr. Abdulrahman Mohammad, professor of finance and banking at the Faculty of Economics at Hama University, told Al-Watan newspaper that the central bank's talks with the US Treasury represent a pivotal step toward ending decades of banking isolation, as part of a gradual path toward integrating Syria into the international financial system.

Mohammad noted that these talks can be considered a significant turning point, but not sufficient on their own, explaining that restoring correspondent banking relations also requires meeting international compliance standards, an effort Damascus is pursuing through a comprehensive review of anti-money laundering and counter-terrorism financing systems in cooperation with international experts.

Implications for Trade and Investment

Mohammad points out that this development could have positive effects on several fronts, including:

• Facilitating foreign trade financing and lowering the cost of financial transfers
• Attracting foreign investments that require reliable banking channels
• Strengthening banking sector stability through gradually restored confidence
• Supporting rebuilding and infrastructure sectors that require substantial external financing

Trust Built Through Practice

Mohammad states that this rapprochement is a necessary but not sufficient condition, as its success remains contingent on completing internal institutional reforms, building regulatory systems aligned with international standards, and demonstrating seriousness in combating money laundering, adding that international banking trust is built through actual practices, not through political agreements alone.