Washington Lifts Terror Designation
The United States removed Syria from its list of state sponsors of terrorism on 24 August 2026, ending a designation that had stood for 47 years. The step took effect after a 45-day congressional review period lapsed without objection, following a notification sent to Congress in July.
The action was carried out through the US Treasury's Office of Foreign Assets Control. Treasury Secretary Scott Bessent said the move would "help foster additional investment in Syria to promote political and economic stability."
A Designation Dating to 1979
Syria had been listed since 1979, one of the longest-standing designations of its kind. With its removal, only Iran, Cuba and North Korea remain on the list.
Washington also rescinded the terrorism designation of the Nusra Front, the group that later merged into Hayat Tahrir al-Sham. US officials said the current government had taken significant steps to counter terrorism.
Barriers to Investment Removed
The delisting removes a major legal obstacle to trade, investment and reconstruction financing. It follows the lifting of Caesar Act sanctions in December 2025 and the release of an investor handbook in May 2026 aimed at encouraging foreign companies to enter the Syrian market.
The scale of the task remains vast. Reconstruction across the country has been estimated at $216 billion (USD), a figure that underlines why access to international capital is considered decisive.
Damascus Welcomes the Step
The central bank governor, Safwat Raslan, described the decision as "a historic step and beginning of a new phase," saying it opened new horizons for the economy and offered a chance to return to "its natural position in the global economic and financial system." He said the central bank was working to build a modern and trustworthy financial system.
The head of the general authority for borders and customs, Qutaiba Badawi, called it "an important transformation that opens wider horizons for investment," pledging to simplify customs procedures and ease the movement of goods and transit traffic.
A Long Road Ahead
Officials framed the delisting as a legal opening rather than an immediate change in daily conditions. Restoring correspondent banking relationships, attracting large-scale foreign capital and rebuilding damaged infrastructure are expected to take years.
For now, the removal narrows the gap between Syria and the international financial system, and Syrian authorities have signaled they intend to translate it into concrete trade and investment activity.