Damascus and Vienna towards restoring financial relations and resuming remittances

In a move reflecting the acceleration of the pace of Syria's economic opening, the Governor of the Central Bank of Syria, Abdul Qader Al-Hasriya, held a series of high-level talks on Monday in the Austrian capital, Vienna, with the governor of the Austrian Central Bank, Martin Kocher, focused on restoring stalled financial ties and inaugurating a new phase of banking cooperation between the two countries.

Remittance Remittances and Digital Transformation

The two sides discussed in depth the mechanisms for restoring direct financial relations and resuming remittances, with a focus on activating the cross-border payment system. The meeting also reviewed ways to overcome banking obstacles for Austrian and European companies wishing to invest in the Syrian market, in addition to discussing the files of the digital economic transformation.

Reopening Syrian Bank Accounts

In extensive meetings involving Raiffeisen and BAWAG, Al-Hasiriyah discussed the requirements for reopening the Central Bank of Syria's account with Raiffeisen Bank, and exploring the prospects of cooperation in light of the lifting of sanctions on Syria. He described these exclusivity talks as "successful", stressing that they pave the way for the return of the Syrian banking sector to the international arena.

Preparation for a financial summit in October

During his meeting with the Austrian Banking Association, Al-Hasriya revealed arrangements to hold a joint financial summit between Syria and Austria next October.   

According to the exclusivity, the summit aims to develop a roadmap for the requirements for the success of the Syrian banking sector and to provide a safe environment for intra-financial transactions.

Building trust and transferring expertise

For his part, the President of the Arab-Austrian Chamber of Commerce, Werner Vasslaband, praised the seriousness of the meetings, noting that the presence of the Austrian National Bank team allowed a direct exchange of technical expertise.

The ultimate goal is to establish a "sustainable cooperation mechanism" that will contribute to the transfer of confidence to the entire Austrian banking sector, facilitating the implementation of future trade and financial operations with Syria, he said.

Highlights of the talks

The main objective is to resume remittances and direct banking relations, discuss the reopening of the Central Bank of Syria's account at the "Riiffeisen" bank, and overcome banking obstacles for Austrian companies in Syria, with reference to  the upcoming Syrian-Austrian financial summit  next October, and the activation of modern cross-border payment systems.

Norway lifts ban on investment in Syrian bonds

  A Norwegian government document revealed a striking decision to lift the ban on the Norwegian sovereign fund — the world's largest at $2.2 trillion — in Syrian government bonds.

According to economic analysts, the move comes as a strong indication of Syria's gradual return to the international financial system following the country's recent political changes.