Switzerland has officially announced new amendments to the sanctions regime imposed on Syria, including the removal of 7 prominent Syrian institutions and entities from sanctions lists, in a move described as part of an international trend to revitalize Syria's financial sector in the economic recovery phase while maintaining the sanctions imposed on other individuals and entities still on Swiss lists.
The Swiss General Secretariat for Economic Affairs said in a statement that it had made amendments to Annex 7 of the Penal Code on Syria, through which 7 items were removed and the lists of 18 individuals and 4 entities were amended.
She explained that the decision included the lifting of sanctions on economic and banking institutions that are considered one of the largest in Syria, namely the General Organization for Tobacco, the General Organization for Cotton, the People's Credit Bank, the Industrial Bank, the Cooperative Agricultural Bank, the Savings Bank, and the Cham Printing and Publishing Company, noting that these institutions were previously listed on charges related to financing or supporting the former regime.
Lifting the asset freeze of the seven institutions
The update of the blacklist in Bern followed a similar move by the European Council, which revisited its sanctions following recent political changes in Syria, according to the statement, which confirmed that the lifting of sanctions on four state banks and two productive institutions aims to facilitate internal financial transactions and support the agricultural and industrial sectors in the phase of economic recovery and reconstruction.
Under the new amendment, the asset freezes of the seven institutions within Swiss banks have been abolished and international companies and institutions can deal with them financially and commercially without any legal consequences within the Swiss system.
On the other hand, Switzerland confirmed that the sanctions imposed on other individuals and entities still included in the list will continue to be in force, noting that on June 20, 2025, the Swiss Federal Council lifted most of the economic sanctions imposed on Syria.
Expectations of a financial breakthrough in the coming days
The Swiss decision is expected to have a direct and clear impact on the Central Bank of Syria's dealings, as it reopens financial channels that have been closed for years, and gives the Central Bank a wider margin to move in managing reserves, financing trade, and stabilizing the exchange rate.
Economist Mohamed Shaabo described the Swiss decision as very important in this difficult phase that the Syrian economy is going through, as it allows the release of frozen deposits and the remanagement of part of foreign investments in a financial market that is one of the most stable in the world.
He pointed out that the decision coincides with the recent move of the Central Bank of Syria, which allowed citizens to receive foreign remittances in dollars, euros or pounds, as the exit of national banks from the sanctions lists contributes to making international transfers smoother, which increases the flow of foreign exchange through official channels and enhances the ability of the Central Bank to manage liquidity.
The expert stressed that financial openness contributes to the stability of the exchange rate, as the Central Bank was able to stabilize the official rate of the dollar at the old 11,250 pounds (112.50 new pounds), while the prices of the parallel market fell to the limits of 14,230 pounds, which reduces the gap between the two prices and limits the speculation that puts pressure on the lira.
At the level of financing foreign trade and reconstruction, the exit of public banks from sanctions allows the opening of direct documentary credits for the import of basic commodities such as wheat, fertilizers and industrial equipment, which eases the burden on the central bank in securing difficult credit lines and supports the economic recovery process at a critical stage, according to Shaabo.
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