Saudi Arabia urges expanded Islamic finance for Syria’s reconstruction

• Syria’s economic recovery has reached a critical stage, prompting renewed calls for Islamic finance to support the country’s rebuilding efforts.
• A World Bank estimate puts reconstruction costs at $216 billion after more than 13 years of conflict, with nearly one-third of Syria’s pre-war gross capital stock damaged.

RIYADH: A senior Saudi official has called for Islamic finance to play a larger role in Syria’s recovery, urging a coordinated partnership built around a unified and practical reconstruction plan.

Abdullah bin Abdulaziz Al-Rabeeah, advisor to the Royal Court and supervisor general of the King Salman Humanitarian Aid and Relief Center, made the appeal while speaking at an event held alongside the UN General Assembly in New York.

He called for “a clear and coordinated partnership approach” in Syria, backed by an actionable plan that identifies priorities, timelines and viable projects.

The gathering, organized by Qatar and the Islamic Development Bank, comes as Syria confronts extensive reconstruction needs following more than 13 years of conflict.

An October World Bank estimate placed the cost of rebuilding Syria at $216 billion, noting that nearly one-third of the country’s gross capital stock before the conflict had been damaged.

“Syria stands today at a crossroads and faces an opportunity for a genuine transition from crisis to recovery, and we must not miss this opportunity,” Al-Rabeeah said, according to the Saudi Press Agency.

He said humanitarian, development and peace efforts must be aligned to move the country from emergency relief toward sustainable development.

Call for sanctions relief

Al-Rabeeah said Saudi Arabia has consistently supported the removal of sanctions imposed on Syria. He warned that such restrictions can obstruct reconstruction, limit access to essential resources and hamper the delivery of humanitarian and development assistance.

“We believe that removing these obstacles will contribute to greater stability and boost economic recovery,” he said.

Coordinated financing framework

Al-Rabeeah called for a comprehensive financing framework combining concessional funding, guarantees and investment, alongside an expanded role for Islamic finance. He said this would help convert Syria’s national priorities into bankable projects capable of generating sustainable development impact.

He added that the Saudi Fund for Development is working with the Syrian Ministry of Finance to support projects in energy, water, sanitation, housing and healthcare in the coming months.

Saudi-backed projects cover 25 sectors

According to Al-Rabeeah, Saudi Arabia has delivered more than 600 projects in Syria worth over $1.71 billion. The assistance spans humanitarian and development programs across 25 sectors, including energy, health, education, food security and shelter.

Investment extends beyond aid

Saudi engagement in Syria has also expanded into large-scale investment. In July 2025, Investment Minister Khalid Al-Falih led a 150-member delegation to Damascus, where Saudi and Syrian companies signed 47 agreements and memorandums of understanding valued at nearly $6.4 billion.

The agreements cover energy, industry and other sectors. Roughly $2.93 billion was allocated to real estate and infrastructure projects, including the rebuilding of areas damaged during the conflict.

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