Syria's central bank said on Sunday it issued its first letter of credit in 14 years to facilitate a petroleum products supply deal between the Syrian Petroleum Company and Saudi Aramco (2222.SE).
The bank said the transaction was arranged in coordination with a major US bank, which it did not name, opening a channel to finance oil imports and settle payments through the formal banking system.
The move marks a step toward restoring Syria's access to international banking channels following the removal of US sanctions and its designation as a state sponsor of terrorism.
Saudi Arabia's energy minister signed three memorandums of understanding with Kuwait, Qatar and Egypt to strengthen energy cooperation, the Saudi state news agency said on Sunday.
The agreement with Qatar sets a framework for collaboration in petroleum, natural gas and petrochemicals, including exploring joint opportunities to develop pipelines for transport and exports.
Syria no longer classified as state sponsor of terrorism
The United States officially removed Syria from its list of state sponsors of terrorism at the end of August. Damascus claimed at the time that the step was the last major impediment for the country to bring in foreign investment.
Syrian Foreign Minister Asaad Al-Shibani told Reuters that the government hoped removing what he called the "last obstacle" would help reconnect Syria to the global financial and economic system and boost investment. "There is no longer any obstacle to investment, doing business and rebuilding economic life in Syria," he said.
“These actions were all taken in recognition of the positive actions taken and further commitments by the Syrian government under President Ahmed Al-Sharaa to fully distance Syria from acts of international terrorism,” US Secretary of State Marco Rubio said in a statement.
Syria had been on the list since 1979, when Washington accused the government of former President Hafez al-Assad of supporting militant groups. The designation remained throughout the rule of his son Bashar Al-Assad, who was toppled by rebels led by current President Ahmed Al-Sharaa in December 2024.