Economic expert, Dr. Abed Fadliya, told Al-Watan that the drastic decrease in imports and restrictions to basic materials, especially oil its derivatives, is due to two main reasons, the first of which is rationing plans and limiting imports to what is necessary, namely fuel, food, medicine, and raw materials required for production. The second reason relates to unilateral coercive and unfair measures against the Syrian people, the latest of which is the so-called Caesar Act, as many foreign companies are now afraid to do business with the Syrian government.
Fadliya pointed out that there are other reasons, including pressure on those smuggling goods from abroad and vice versa, which is considered a kind of rationing and preservation of foreign currency.
Regarding the decrease in supply compared to demand, Fadliya emphasized that the increase in prices is caused by a lack of supply and monopoly, and a higher demand compared to supply. It should be noted that emergency reasons sometimes result in an increase in demand, which the exchange rate also influences.
Fadliya concluded by saying, “We are at a very critical stage, and there are no immediate or magic solutions, but there are ways to improve supply by increasing production.”
Minister of Economy and Foreign Trade Mohammad Samer al-Khalil, said in the People’s Assembly recently, “We have been able to reduce the value of imports this year, which reached 3.1 billion euros, while last year they were more than 4 billion.”
This article was translated and edited by The Syrian Observer. The Syrian Observer has not verified the content of this story. Responsibility for the information and views set out in this article lies entirely with the author.