Washington, DC., 30 May 2025 —
The lifting of sanctions on Syria and a significant geopolitical shift in the Middle East leave room for optimistic new beginnings. For over a decade, Syria has endured economic isolation, buried under severe sanctions imposed by the United States, the European Union, and several Arab nations, primarily due to the regime of Bashar al-Assad and its involvement in the Syrian Civil War. These sanctions, aimed at pressuring the Assad government by targeting key sectors of the Syrian economy, including banking, oil, trade, and transportation.
Over time, however, the sanctions, combined with the ongoing war, devastated Syria’s economy. Inflation skyrocketed, essential services collapsed, and millions were plunged into poverty. The country’s infrastructure – once among the most developed in the Arab world – was reduced to rubble in many areas.
The humanitarian crisis in Syria has reached catastrophic levels. Supporters of lifting sanctions argue that economic restrictions disproportionately harm civilians and hinder the delivery of aid. Critics argue that sanctions failed to achieve their primary political objectives, which were to break Assad’s grip on power, but ended up pushing Syria deeper into the orbit of Russia and Iran.
Shifting Alliances
Several factors have contributed to the lifting of sanctions. In the wake of shifting alliances in the Middle East, such as the Saudi-Iran détente and the Abraham Accords, regional players are seeking to stabilize Syria as part of broader security agreements. Syria was readmitted to the Arab League in 2023, signaling a new phase of diplomatic normalization. Further, Arab countries, led by the UAE and Saudi Arabia, have taken steps to re-engage with the new interim government, led by former rebel leader Ahmed al-Sharaa.
The initial easing of sanctions was implemented by Arab and some Asian states involving trade, travel, and investment. Several Arab airlines resumed flights to Damascus. Energy projects reintegrated Syria into regional energy networks, including electricity and gas pipeline projects. Several Arab states have been exploring investment opportunities in reconstruction and infrastructure, particularly in less war-affected areas.
Thirteen years of conflict and displacement have left Syria’s infrastructure in ruins, with entire towns uninhabitable; schools, hospitals, roads, water facilities, and electrical grids damaged; public services barely functioning; and the economy in freefall. More than 90 percent of Syrians live below the poverty line, with food insecurity impacting at least 9 million people. An estimated 16.5 million Syrians require some form of humanitarian aid.
US Sanctions
In a significant policy shift, the US announced the lifting of sanctions on Syria, marking a pivotal moment in the nation’s post-war recovery and its evolving relationship with the international community. The changes are part of a broader US effort to remove the sanctions framework imposed on Syria due to the abuses of the Bashar al-Assad regime, aiming to facilitate new investment and private sector activity.
On 23 May 2025, the Treasury Department issued Syria General License 25 (GL25), effectively lifting most restrictions on financial transactions with Syria. GL25 allows US persons to engage in certain transactions with the Syrian government and other blocked persons, including dealings with the Central Bank and state enterprises. It also facilitates humanitarian aid and infrastructure development.
The State Department waived sanctions under the Caesar Act for 180 days, specifically regarding any activity by non-US persons that would have been prohibited by the Syrian Sanctions Regulations (excluding transactions involving blocked persons). The US government is still enforcing sanctions on designated individuals like Bashar al-Assad, serious human rights abusers, terrorist groups, and other persons involved in harmful activities in Syria.
While the easing of sanctions represents a significant step, it is not unconditional. The US has outlined specific expectations for the new Syrian leadership. The Syrian government must take decisive counterterrorism action against terrorist groups operating within its borders. It must ensure the safety and protection of minorities; the rights of religious and ethnic minorities are paramount. The government is expected to prevent foreign interference and uphold Syria’s sovereignty and promote regional stability.
US Secretary of State Marco Rubio emphasized that the easing of sanctions is contingent upon Syria meeting these policy expectations, including expelling foreign fighters and aiding in the fight against ISIS.
The European Union has also taken steps to ease sanctions on Syria, aligning with the US move. Britain and Canada have lifted sanctions on several Syrian entities and provided humanitarian aid, signaling a broader international consensus on supporting Syria’s recovery.
The decision to lift sanctions on Syria marks a hopeful new chapter in the nation’s journey toward recovery. While challenges remain, this policy shift underscores the international community’s commitment to supporting Syria’s transition and rebuilding efforts. The coming months will be crucial in determining the success of these initiatives and the future of Syria’s place in the global community.
Path to Recovery
Syria faces significant challenges in its path to recovery. The country’s infrastructure has been severely damaged, and rebuilding efforts will require substantial investment, international cooperation, and continued donor funding, without which Syria’s recovery will be uneven and limited.
While the removal of sanctions signals a potential shift from confrontation to cautious engagement in international policy, the path forward remains uncertain. If sanction removal is based on political motives or demands that Syrians fulfill unrelated foreign policy goals, including diplomatic concessions, it could potentially turn economic measures into tools of unlawful coercion.
Moreover, the new government must navigate complex internal dynamics and external pressures to establish lasting peace and stability. It remains unclear whether this will lead to genuine reform or reconciliation. For the Syrian people, the true test will be whether this diplomatic thaw translates into tangible improvements in daily life. For the sake of all that the Syrian people have endured for more than a decade, let’s hope it is successful.
Photo Credit: Babunnur Refugee Camp in Aleppo Syria (4) by IHH Insani Yadim. Licensed under CC BY NC ND 2.0,
Lara Kajs is the founder and executive director of The Genocide Report, an NGO nonprofit organization in Washington, DC. She is the author of Assad’s Syria, and Stories from Yemen: A Diary from the Field, available in e-book, paperback, and hardcover at Amazon, Barnes and Noble, Apple Books, and independent bookstores worldwide. Distributed by Ingram. Ms. Kajs frequently speaks about atrocity crimes, forced displacement, and International Humanitarian Law (IHL). Follow and connect with Lara Kajs on Facebook, Instagram, X, LinkedIn, and Bluesky.