ERBIL, Kurdistan Region - The World Bank Group announced on Friday that Saudi Arabia and Qatar have paid off Syria’s approximately $15.5 million debt to the bank, making Damascus eligible to receive new loans.
“Effective May 12, 2025, the arrears of approximately $15.5 million due to the International Development Association (IDA) by the Syrian Arab Republic have been cleared. The payment to clear the arrears was made by the Kingdom of Saudi Arabia and the State of Qatar,” the World Bank Group said in a statement.
“Consequently, the country’s eligibility for new operations has been reinstated, subject to compliance with applicable World Bank operational policies,” it added.
The Saudi Press Agency on April 27 published a joint statement by Saudi Arabia and Qatar, in which they announced their plan to settle Syria’s outstanding debt to the World Bank.
They also called on international and regional financial institutions to “promptly resume and expand their development engagement in Syria and to expand efforts, in line with their mandates, to improve the lives of the Syrian people and realize their aspirations for a future marked by opportunity and well-being, contributing to the broader stability and prosperity of the region.”
The World Bank suspended operations in Syria 14 years ago, when the civil war erupted. That war and years of sanctions have left Syria’s infrastructure crumbling and its economy in tatters, providing challenges for the country’s new rulers.
“IDA, the World Bank Group’s fund for the poorest countries, provides zero- or low-interest loans and grants to countries for projects and programs that boost economic growth, build resilience, and improve the lives of poor people around the world,” the World Bank Group said in its statement.
United States President Donald Trump announced during his recent visit to Saudi Arabia his intention to lift sanctions on Syria as part of a broader strategy to normalize relations with Damascus.
Several European countries have already removed some sanctions. In April, the United Kingdom lifted sanctions it had imposed on Syrian ministries, intelligence agencies, and state-affiliated media outlets during the rule of toppled dictator Bashar al-Assad.
