Damascus- The Syrian caretaker government faces huge challenges after the previous regime left a collapsed state in all sectors, especially the economic sector, in all fields that are considered the basis for building the state and its strength, according to the Minister of Economy in the caretaker government, Basil Abdel Hanan.
Abdel Hanan said in an exclusive interview with Al Jazeera Net that the economic legacy left by Assad is a system of corruption that first needs to be evaluated, because the previous vision and perception about the extent of corruption present in institutions and the economic sector is below reality.
Flabby corruption
The Syrian minister added: “The extent of corruption was much greater than expected, in addition to administrative laxity with disguised unemployment and new legislation and systems that legalized corruption. Therefore, we are in the stage of assessing the reality and restructuring the existing economic institutions.”
He pointed out that “the restructuring of the economy will be to transform the economy, which was based on socialism and then turned into a totalitarian, corrupt dictatorship, into a free, open market economy, and this restructuring is necessary to achieve the transition.”
Penalties and reconstruction
Abdel Hanan said that the impact of the imposed sanctions is significant, especially on reconstruction because they require investments in infrastructure in the electricity and water generation sector and advanced industries, adding that these sectors need the entry of strong companies, while the sanctions hinder the entry of these companies for the sake of reconstruction.
He pointed out that many local and international organizations sent representatives to develop plans and assess needs and priorities for reconstruction, and that there is communication with international bodies concerned with this issue in order to speed up this matter and organize it properly.
The Syrian minister in the caretaker government pointed out that it is not possible to expect a specific time for reconstruction before assessing the needs, pointing to the efforts of humanitarian organizations in addition to the Syrians abroad who wish to return to their homeland, which will contribute to significantly accelerating reconstruction, especially in the most devastated areas.
The most important factor to strengthen the lira is production and export, to introduce hard currency to increase the cash reserve of hard currency
Save currency
Regarding the plan to save the Syrian currency from collapse, Abdel Hannan said that the main goal first is to stabilize the exchange rate in order to stabilize the markets and move the wheel of trade exchange.
He added that in the future, as the wheel of production moves and exports begin, there will be steps that raise the value of the Syrian pound, but the current reality requires great efforts in addition to the concerted efforts of all.
He explained that the most important factor for strengthening the lira is production and export to introduce hard currency and increase the cash reserve, thus increasing the strength of the currency, in addition to achieving stability in the exchange rate to stabilize the movement of commercial and monetary circulation.
Our currency market is an open market, and any trader who wants to trade in the Turkish lira, the dollar, or the Syrian pound, there is no dispute about that, but the main currency is the Syrian pound.
He stressed that the main currency in Syria is the Syrian pound, especially with its spread in most Syrian governorates, in addition to that there is a plan to replace the worn-out currency in the Central Bank, and to replace some other denominations.
As for other currencies, such as the Turkish lira and the dollar, Abdel Hanan said: “Our currency market is an open market, and any merchant who wants to trade in the Turkish lira, the dollar, or the Syrian pound, there is no dispute over that, but the main currency is the Syrian pound.”
Free competitive economy
He pointed out that the economy in the coming Syria will be free and competitive with the implementation of policies to protect the local product, to focus on the industrial sector and support it greatly to stimulate it, in addition to supporting and protecting the agricultural sector, which is the primary sector in Syria.
He pointed out that the state’s role will be only regulatory oversight, even in the health and education sectors, and if there are investment bodies in this field, they will be greatly welcomed, and the government’s main role is to provide services in these sectors, “health and education.”
He noted that the environment today in Syria is the post-war environment, and that it is the most appropriate economic environment for investment, noting that packages will be issued at the beginning of the year in order to stimulate investment and encourage the return of investors in countries of asylum and displacement, which will make the volume of investment large, and he stressed that there are attempts to attract Investments from the Gulf countries, Egypt, and even from Western countries.
There is a plan to replace worn-out currency in the central bank, in addition to replacing some other denominations
Oil revenues
As for the Damascus government’s handling of the oil file, the minister said that these wealth of oil, phosphate and other natural resources will be well exploited, to supply the public treasury with the largest amount of foreign exchange, in addition to providing needs and reducing the oil import bill.
He pointed out that the Assad regime was not publishing correct statistics regarding the oil file due to the Presidential Palace’s previous control over these files, saying: “We are now in the process of re-evaluation and assessment.”
Many companies have expressed their desire to invest in the oil derivatives sector, the electricity sector, and other sectors
He added that the oil refineries in Syria need rehabilitation, because they are flabby and more than 50 years old, and no modernization or development has taken place in them.
He pointed out that the development of these refineries and the establishment of new ones will be done through presenting investment projects in infrastructure in all sectors, through a package that will be presented to interested investors and companies, explaining that many companies have expressed their desire to invest in the oil derivatives sector, the electricity sector, and other sectors.
There are packages that will be issued at the beginning of the year in order to stimulate investment and encourage the return of investors in countries of asylum and displacement
Stolen money
Abdel Hanan said: “We received information from the markets of neighboring countries about large quantities of gold and other hard currency displayed in the markets from the remnants of the regime who fled and stole the public treasury.”
He added: “Until now, there are no clear statistics, and the assets and liabilities of the Central Bank are being inventoried… because the financial mass is transferred on a daily basis from the banks to the Central Bank, and there are obligations on the bank.”
The Minister called for more solidarity of all segments of society, including manufacturers, merchants, businessmen and investors, with the government to advance the economy in order to shorten the time frames for achieving the target.
Abdel Hanan urged Syrian businessmen who were displaced since 1960, especially during the years of the revolution due to the “corrupt regime,” calling on them to return to “free Syria” in order to contribute to construction, where the government will be “technocrats” that encourage free investment.
