Saudi concessional loans of $403.6 million for Syria — $60 million to rehabilitate 10,000 housing units
Six agreements signed at Al-Yamamah Palace open funding for service sectors, including the rehabilitation of 10,000 damaged housing units in a first phase.
Riyadh, 4 November 2026
Syria’s Ministry of Finance signed six concessional development loan agreements with the Saudi Fund for Development, worth a total of $403.6 million, to fund service and development projects in electricity, water, health, housing, civil defence and digital transformation. The signing took place at Al-Yamamah Palace in Riyadh, on the sidelines of Syrian President Ahmad al-Sharaa’s visit to Saudi Arabia, in the presence of Crown Prince and Prime Minister Mohammed bin Salman.
The agreements were signed for Syria by Minister of Finance Mohammed Yusr Barnieh, on behalf of the ministries and bodies concerned, and for the Saudi side by the Fund’s CEO, Sultan bin Abdulrahman Al-Marshad. Repayment extends over 20 years, including a five-year grace period.
Rehabilitating 10,000 housing units in a first phase
The fourth agreement provides a $60 million loan to rehabilitate 10,000 damaged housing units, as a first phase of the project, implemented by the Ministry of Public Works and Housing. The project aims to improve housing conditions for affected families and support their return to habitable homes.
The funding comes at a time when Syria’s housing deficit is estimated at around two million units by 2035, according to the Ministry of Public Works and Housing last September, making partial rehabilitation of damaged units a faster path to stability than new construction alone.
Breakdown of the six loans
The loans are spread over six main projects. The emergency sector takes the largest share, $105 million, to rehabilitate 12 civil defence centres, build 13 new ones and equip them, under the Ministry of Emergency and Disaster Management, serving more than 7 million people.
The health sector receives $100 million to rehabilitate, build and equip hospitals and health centres in various areas, under the Ministry of Health. A further $90 million goes to rehabilitating the Aleppo thermal power station by repairing power generation units, supporting stable electricity supply for around 5 million people.
In water, $30 million is allocated to supply and install 300,000 prepaid smart water meters, benefiting around 1.5 million people. The sixth agreement, worth $18.6 million, covers digital transformation and institutional development at the Ministry of Finance.
A first tranche, not a closed package
The Ministry of Finance described the agreements as a first tranche of a list of service and basic projects being financed through the Saudi Fund for Development, meaning further projects may follow under the same mechanism. The Fund’s board had approved in October 2026 financing for six projects in Syria, then announced at around $406 million, before the detailed value was fixed at signing at $403.6 million.
The visit also included Syria’s formal participation contract for Expo 2030 Riyadh, and memoranda of understanding on industrial cooperation, agriculture and environmental protection. It is President al-Sharaa’s second visit to Riyadh in less than a month, after the 6 October visit.
Prepared by: Construction & Investment Prime (CIP)
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