MIDDLE EAST (Enmaeya News) - October 22, 2025

Syria’s central bank has given commercial banks six months to absorb their losses linked to the financial crisis in Lebanon and to submit detailed restructuring plans, according to Reuters.

The decision, issued on September 22, requires banks to account for all money they had placed in Lebanon’s banking system, much of which has been frozen since Lebanon’s 2019 collapse.

The amount is estimated at over $1.6 billion, a large share of Syria’s total bank deposits of around $4.9 billion.

Banks most affected include Bank al-Sharq, Fransabank, Bank of Syria & Overseas, Bemo Saudi Fransi, Shahba Bank, and Ahli Trust Bank, many of which are linked to Lebanese owners.

Central Bank Governor Abdelkader Husriyeh said the move aims to clean up Syria’s struggling banking sector after years of war, sanctions, and economic decline.

“Banks must present a credible restructuring plan, the countdown has begun,” he told Reuters.

Some bankers said the six-month deadline is too short, calling it “premature.” But officials insist the goal is to move from ignoring losses to addressing them transparently.

Husriyeh added that some banks may seek new investors or partnerships in Lebanon or the wider region. He also said the central bank plans to increase the number of banks in Syria by 2030.

Despite concerns over the tight deadline, this move marks a significant effort to stabilize Syria’s economy and attract new investment through restructuring and expansion.