The United States has removed Syria from its list of state sponsors of terrorism, lifting a decades-old designation that had imposed severe economic restrictions on the country.
The US Department of State also revoked the designation of Hay’at Tahrir al-Sham (HTS), previously known as al-Nusra Front, as a foreign terrorist organisation, while the Treasury Department announced related sanctions relief.
The decisions mark a major shift in Washington’s approach to Damascus and could open the door to increased investment and closer economic ties following the overthrow of longtime Syrian President Bashar al-Assad in December 2024.
HTS forces led the offensive that toppled Assad after more than 13 years of civil war. The group’s leader, Ahmed al-Sharaa, later became president as Syria began the difficult process of rebuilding the country.
US Treasury Secretary Scott Bessent said removing the sanctions designation was expected to encourage investment and support political and economic stability in Syria.
“Today’s action will help foster additional investment in Syria to promote political and economic stability,” Bessent said.
The Treasury Department said the move was in line with President Donald Trump’s pledge to ease sanctions on Syria, while stressing that Washington remained committed to fighting terrorism.
US Secretary of State Marco Rubio said the decision would give Syrians “a path to prosperity” by removing major barriers to private-sector investment and helping Syria reconnect with the global economy.
HTS was previously known as al-Nusra Front and had links to al-Qaeda in Syria before breaking away from the jihadist group in 2016.
Washington had announced in July that it planned to remove Syria from the state sponsors of terrorism list, describing the move as an important show of confidence in al-Sharaa’s administration.
Syrian officials welcomed the decision, describing it as a significant step towards rebuilding the country’s economy and strengthening its international relations.
Foreign Minister Assad al-Shaibani called the development a “historic milestone”, saying it reflected the new Syrian government’s commitment to international peace and security.
Finance Minister Mohammed Barnieh said the move could help Syria attract foreign investment and modern technology while improving its integration into the global financial system.
Central Bank Governor Safwat Raslan also welcomed the decision, saying the bank was working to build a modern financial system capable of taking advantage of the new economic opportunities.
The lifting of the designation is expected to ease some of the financial restrictions that have limited Syria’s access to international markets and made it difficult for foreign businesses to invest in the country.
For Damascus, the move represents a major diplomatic and economic opening as the new government seeks to rebuild after years of war and sanctions.
