Syria Economy 2026 Faces Reform Challenges

The article reviews the International Monetary Fund's forecast that the Syrian economy will grow by over 10% in 2026, driven by improved performance in the agricultural sector, expanded hydrocarbon production, better electricity supplies, and growth in trade and services sectors, along with increased public revenues. However, the sustainability of this growth remains contingent upon completing structural reforms and addressing deep banking imbalances. On another note, rising import prices caused temporary inflation, but this is expected to subside by 2027 with the implementation of sound fiscal and monetary policies. Syria has also made progress in financial management and enhancing transparency, with the World Bank approving funding for projects aimed at improving public finance management and supporting the health and water sectors, thereby strengthening efforts to rebuild the national economy and improve the banking environment.

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