The Union of Arab Banks (UAB) has announced a project to reform the Syrian banking sector in collaboration with European entities. According to UAB Secretary-General Wissam Fattouh, the project is being developed in coordination with the Central Bank of Syria, with discussions ongoing regarding implementation.
The three-year project will focus on developing banking infrastructure and providing training programs in cooperation with the German Central Bank. The initiative includes establishing specialized asset management companies to handle distressed debts.
Proposed solutions also involve a gradual approach to privatizing public banks to enhance efficiency and boost investor confidence. Improving internal compliance mechanisms and expanding financial inclusion through digital banking technologies are also key components. Syria faces challenges in combating money laundering and terrorism financing, particularly amid ongoing international sanctions.