The Trump administration issued an order on Friday saying that President Donald Trump would effectively lift sanctions against Syria after he pledged this month to unlock measures to help the country rebuild after a devastating civil war.
The Treasury has issued a general license to approve transactions involving the interim Syrian government led by President Ahmed Alshara, with central banks and state-owned enterprises.
The general license, known as the GL25, “approves transactions prohibited by Syria sanctions regulations and effectively lifts sanctions against Syria,” the Treasury Ministry said in a statement.
“The GL25 enables new investments and private sector activities that are consistent with the President’s first American strategy,” the statement said.
Secretary of State Marco Rubio issued a 180-day exemption under the Caesar Act to ensure that sanctions do not interfere with investment, promote the provision of electricity, energy, water and sanitation, and enable humanitarian efforts.
“Today’s actions represent the first step in realizing the President’s vision for new relations between Syria and the United States,” Rubio added that Trump has revealed his hopes that actions by the Syrian government will continue following sanctions relief.
The White House said last week that after Trump met Sharaa, the president asked Syria to comply with some conditions in exchange for Syria’s relief.
“President Trump offers the Syrian government an opportunity to promote peace and stability, both within Syria and in relations with Syrian neighbors,” Rubio said.
Syria welcomed the sanctions exemption early on Saturday. This has been called the Ministry of Foreign Affairs “a positive step in the right direction to alleviate the country’s humanitarian and economic suffering.”
Syria is “keen to work with other countries on the basis of mutual respect and non-interference in domestic affairs. It considers dialogue and diplomacy to be the best path to building a balanced relationship,” the ministry said in a statement.
Most of the US sanctions on Syria were imposed on Syrian President Bashar al-Assad and key individuals in 2011 after the civil war broke out there. Sharaa was leading the militia that overthrew Assad in December.
The general license name is Sharaa, previously authorized under the name Abu Muhammad al-Jaulani, and is currently among people and organizations that are permitted to trade. It also lists Syrian Arab Airlines, the Syrian Central Bank, and many other banks, oil and gas companies from several states, and the Four Seasons Damascus Hotel.
Last week, Trump unexpectedly announced that he would lift the sanctions at the request of the Saudi Arabian Crown Prince.
The easing of Syrian sanctions is expected to clarify the path to greater involvement by humanitarian organisations working in Syria, and encourage foreign investment and trade as the country is rebuilt. However, the US imposes a layer of measures against Syria, blocks it from the international banking system, bans many imports, and the possibility of national sanctions being returned can cool private investment.
The United States first put the country on its list of national sponsors for terrorism in 1979, and has since added an additional set of sanctions, including several rounds after the 2011 uprising against Assad.