In a striking sign of deepening economic normalization between Saudi Arabia and Syria, a high-level Saudi delegation arrived in Damascus on Wednesday to sign trade and investment agreements valued at over $4 billion. The visit, led by Saudi Investment Minister Khalid Al-Falih, includes more than 130 business leaders from a wide range of sectors, and marks the most significant Saudi commercial engagement with Syria since the onset of the civil war in 2011.
According to Saudi state broadcaster Al-Ikhbariya, the delegation’s agenda includes the signing of dozens of agreements amounting to more than 15 billion Saudi riyals (approximately $4 billion), as well as the inauguration of a bilateral investment forum—billed as the first of its kind. The forum, hosted in the Syrian capital, is designed to foster partnerships between public and private sectors in both countries, and to signal a shift in Riyadh’s approach to post-war economic reconstruction in Syria.
A Milestone in Economic Normalisation
The Saudi Ministry of Investment described the initiative as a “landmark effort to strengthen bilateral economic relations and unlock new opportunities for sustainable development.” The forum also aims to overcome long-standing obstacles to foreign investment in Syria, such as legal uncertainty, sanctions, and infrastructure degradation.
One of the most tangible outcomes of the visit is the launch of the Fihaa White Cement Factory in the Adra Industrial Zone on the outskirts of Damascus—a joint venture that symbolizes Saudi Arabia’s growing footprint in Syria’s industrial revival.
Saudi and Syrian officials, including Syrian Economy Minister Mohammed Nidal al-Shaar and Energy Minister Mohammed al-Bashir, were present at Damascus International Airport to welcome the delegation. Also in attendance was Saudi Ambassador to Syria Dr. Faisal bin Saud Al-Mujfel, underscoring the diplomatic thaw between the two countries.
High-Level Backing and Strategic Vision
The visit follows a series of high-level meetings between President Ahmad Al-Sharaa and Saudi Crown Prince Mohammed bin Salman. In a February summit held in Riyadh, the two leaders discussed sweeping economic cooperation plans, with particular emphasis on energy, technology, education, and healthcare.
Just days prior to the delegation’s arrival, President Al-Sharaa hosted a separate group of Saudi businessmen at the People’s Palace in Damascus, including prominent figures Mohammed Abunayyan and Suleiman Al-Muhaidib. Discussions focused on broadening bilateral economic ties and forging long-term industrial and commercial partnerships.
Parallel Developments in Industrial Expansion
The Saudi-Syrian rapprochement comes as Syria intensifies efforts to revitalize its industrial base. In Homs province, authorities are moving to expand the Hassia Industrial City through the acquisition of 20 additional properties. Officials hope this move will attract new investment and integrate local stakeholders through flexible compensation mechanisms such as land swaps and public-private partnerships.
Hassia, which recently exported its first shipment to the United States in over 15 years, is emerging as a key hub for Syria’s industrial recovery. Authorities report that more than 1,000 investors are now operating in the city, with over 500 craft and engineering production units already established.
Outlook and Caution
While the Saudi initiatives are widely seen as a boost to Syria’s war-ravaged economy, questions remain about the long-term feasibility of major foreign investments given the country’s lingering security concerns, fragmented governance, and international sanctions. Nevertheless, the scale and symbolism of the Saudi delegation’s visit mark a significant geopolitical and economic development in the region.
If sustained, this burgeoning Saudi-Syrian economic partnership could serve as a catalyst for broader Arab re-engagement with Damascus—and potentially reshape the contours of Syria’s reconstruction phase.
