Saudi Arabia announced on Saturday sweeping investments in Syria’s telecommunications, energy, and aviation sectors, the latest sign of a deepening relationship between the two countries.
The deals represent a much-needed economic boost for the Syrian government, led by President Ahmed al-Sharaa, whose rebel forces ousted the country’s longtime dictator, Bashar al-Assad, just over a year ago.
Since taking power, Mr. al-Sharaa has faced the daunting task of rebuilding a country devastated by a nearly 14-year civil war and an economy that was crippled by corruption and Western sanctions.
Syrian and Saudi officials announced the investment package at the presidential palace in Damascus, the Syrian capital. They said the deals included the creation of a joint airline; the rehabilitation of the international airport in Aleppo, one of Syria’s largest cities and an economic hub in the north; and a $1 billion investment to develop the country’s telecommunication network.
The project in Aleppo will “restore Syria’s leading industrial city to its pioneering role,” Talal al-Hilali, the head of Syria’s investment authority, said on Saturday as he unveiled the deals alongside the Saudi investment minister, Khalid al-Falih.
Mr. al-Hilali added that developing Syria’s telecommunications infrastructure “forms the foundation for building a modern economy.”
Saudi and Syrian officials did not disclose a total dollar amount for all the deals announced on Saturday. But the investments underscore the shifting geopolitical landscape across the Middle East.
Under the Assad government, Syria was closely allied with Iran and its Shiite theocracy, which was often at odds with the region’s Gulf countries. Now, under the largely Sunni Muslim government of Mr. al-Sharaa, Syria has pivoted away from Iran and toward the Gulf.
Saudi Arabia has emerged as a key backer of Mr. al-Sharaa and last year pledged $6.4 billion worth of investments in Syria, involving 47 agreements and more than 100 companies in sectors including infrastructure and telecommunications.
The deals announced on Saturday were “a qualitative leap in the course of cooperation between our two countries,” Mr. al-Falih said.
Mr. al-Sharaa has made reviving Syria’s economy a priority, believing it will help stabilize the country. He has sought to charm world leaders as part of an effort to attract foreign investment and obtain sanctions relief.
The United States lifted its toughest sanctions on Syria in December, helping to pave the way for reintegrating Syria’s banking sector into the global economy.
Syrian and Saudi officials said that the deals announced on Saturday were ready-to-implement contracts that went beyond nonbinding agreements.
The Syrian government has come under criticism over the past year for making sweeping promises about development based on nonbinding agreements with foreign companies and governments, many of which have not yet materialized into contracts.
Earlier this week, Chevron, the American oil giant, signed a memorandum of understanding with Syria’s state-owned oil company to explore the development of the country’s first offshore oil and gas field.
Reham Mourshed contributed reporting.
Christina Goldbaum is The Times’s bureau chief in Beirut, leading coverage of Lebanon and Syria.
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