Decree 70 Activated
Syria's Ministry of Finance on 6 May 2026 issued the executive instructions for Decree 70 of 2026, the legal framework for restructuring non-performing loans at state-owned banks. President Ahmad al-Shara signed the decree in March 2026, and the new instructions convert it into operational rules that government lenders must apply when handling delinquent borrowers.
Finance Minister Muhammad Yasir Burnia announced the rollout through the ministry's official channels, framing it as a step toward pulling defaulted borrowers back into legitimate economic activity and releasing collateral that has been pledged for years.
Who Qualifies
Under the executive instructions, borrowers in default at government banks become eligible for interest waivers, penalty exemptions, and rescheduling of loan principal. Loans whose outstanding balance exceeds 100 million Syrian pounds (SYP) are covered under conditions specified in the new guidelines.
The ministry said the program targets borrowers whose obligations ballooned because of accumulated penalties and capitalized interest rather than fresh borrowing, and named low-income debtors as priority beneficiaries.
What State Banks Stand to Gain
By converting unrecoverable balances into rescheduled performing loans, officials expect state-bank balance sheets to improve and the wider banking sector to recover lending capacity. The ministry described the measure as a structural reform tool rather than a one-off amnesty.
The stated goal is to ease burdens on a broad segment of citizens who defaulted on financial obligations, while restoring earning power at lenders carrying legacy distressed debt.
Tied to Wider Banking Reform
Decree 70 sits inside a wider reform agenda for Syria's financial system. On 18 April 2026, Burnia signed an implementation agreement with the Qatar Development Fund and consulting firm Oliver Wyman, with Central Bank of Syria Governor Abd al-Qadir al-Hasriya present, to redesign the financial and banking sectors.
The project is financed by the Qatar Development Fund with technical input from the U.S. Treasury and the World Bank. State-owned banks are expected to begin accepting settlement applications under the new rules immediately.