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Syria has approved the Syrian-Qatari Investment Co. (SQIC), a joint-venture company that was recently ratified by both countries in Doha, with a capital of $5 billion USD. Syrian Finance Minister Mohammad al-Hussein said that the agreement “shall commence with tourism investment. Later, it will invest in real estate, industry, banking, agriculture and animal breading. In fact, it is only one of many Qatari projects in Syria. For example, Syria Islamic Bank (SIB) had started operation, as Qatari investors venture into the (Syrian) banking sector.” The new project SQIC comes after both counties signed an agreement in July 2005, establishing a holding company with a capital of $200 million USD, aimed at a variety of investment projects in Syria.

Serje Vadimovitch Kerbetchinco, the Russian Ambassador to Syria, said that his country’s private sector is interested in multi-modal investment in Syria. The Embassy in Damascus is very active in conveying messages to Russian businessmen, he added, about the promising investment climate in Syria. Recently the Russian Ambassador had met with Adel Safar, the Syrian Minister of Agriculture, establishing joint agricultural projects between the two countries and sup-porting the creation of a chemical fertilizer plant in Syria. They also discussed reinstating the bilateral Agricultural Agreement between Damascus and Moscow, signed in 1990, and sharing agricultural expertise. Kerbetchinco expressed `comfort’ for the growing economic cooperation between the two countries, indicating that commercial exchange between Syria and Russia exceeded $600 million USD in 2006. The Russian diplomat added, “Ever since I came to Syria, I have sensed a positive attitude on the part of the Syrian government to-wards cooperation with Russia in all areas.” He went on saying, “We are exerting enormous mutual efforts to find appropriate formulas to train Syria cadres, and we shall definitely find those formulas.” He wrapped up saying that “political relations between both countries have entered a new phase after the summit that took place between Presidents (Bashar) al-Assad and (Vladimir) Putin in 2005.”

The Syrian Development Trust (SDT) has been created to bring a variety of NGOs under one legal and administrative umbrella. They include Masaar, SHABAB, World Links, and FIRDOS. This will allow for greater harmonization and the development of more effective and accurate mechanisms for implementation and assessment. The trust will be chaired by First Lady Asma al-Assad. The formal registration of the SDT is aimed at creating “a future where everybody in Syria can realize their potential for the benefit of themselves, their family and their country.” Raif Rislan, the director of the Trust’s Human Resources and Administrative Affairs Division, briefed journalists about future plans of SDT. The Trust will be composed of seven divisions. Three of these departments will focus on implementation, and will be supported by the remaining four services divisions. The first of its kind in Syria, one of these divisions will be completely devoted for research and development (R&D). Nader Qabbani, head of Research Division, said that his department will focus on “developing performance indicators and benchmarks when planning new development projects.” The Executive Division of the Trust will focus on three areas: education and learning, rural development, and culture and heritage. The Trust said that it will be cooperating with the public and private sectors, as well as civil society. SDT Board Members said that there will be periodic assessment of progress and shortcomings. Should any project turn out to be inappropriate, or should it not meet targeted objectives, it shall be discontinued ‘with-out hesitation.’ When asked about funding, Rislan said that the Trust will approach a variety of businesspeople in the private sector interested in financing a specific idea. It will also be working with the European Union and other international organizations. Other projects will be executed jointly with the government, she added, pointing out that distribution of resources will be need-based. All accounts will be fully audited and will be subject to strict financial control.

The Syrian and Turkish Ministries of Tourism have agreed on a variety of measures to make both countries a joint tourist destination. Among other things, they agreed on providing mutual facilities for the passage of tourists through border checkpoints, reducing bureaucracy, and speeding-up customs and visa procedures at border checkpoints in both countries. They have also agreed to facilitate air, maritime, inland and railways trans-port, improve the quality of roads connecting check-points, and resume sea voyages between Mersin and Latakia. Tourism between Syria and Turkey witnessed remarkable growth in 2005, recording a 50% increase since 2002. The number of Turks who entered Syria in 2005 exceeded 680.000.

The Arab Bank (Syria) has opened two new branches, one in Homs and the other in the coastal city of Tartous. The bank’s CEO Khaled Wazni said that this move comes after one year of successful operation in Syria. He thanked the bank’s customers and staff, saying that this success could not have been achieved without them. He also pointed out that Arab Bank (Syria) is proud to be a member of the largest Arab banking network worldwide, with over 400 branches in 29 countries. Wazni also made reference to the ‘great role played by the Syrian government and the Central Bank of Syria in developing legislations and regulations that govern banking operations and stimulate banks to provide the infest international standard banking products.’ Ali Zaatar, the bank’s general manager, said that Arab Bank (Syria) is about to launch a pack-age of new banking ser-vices and will expand to open other branches throughout the country, aimed at providing banking services to the different segments of Syrian society. The capital of Arab Bank (Syria), which already has two branches in Damascus and Aleppo, is 1.5 billion SP ($300million USD). The Bank is planning to double this capital to 3 billion SP ($600 million). Most ad-ministrative procedures for this capital increase have been completed and IPO is expected totake place in July 2007. This increase comes after the Bank announced the results of its first year of operation, where it was able to make profit only 12-months after its establishment.

financial intelligence units (FIUs) that monitor financial operations suspected of money laundering. Membership was granted to the Syrian Commission for Fighting Money Laundering and Terrorism Financing. Syria’s admission into EGMONT is “an international acknowledgement that Syria has effectively joined international efforts to light money laundering.” EGMONT deals with money laundering in 107 counties, including six Arab counties: Syria, UAE, Bahrain, Qatar, Egypt, and Lebanon. Admission procedures are complex and include assessment of the legislative framework in each country, along with an evaluation of its internal operation system and ability to ex-change information with other FIUs. EGMONT was established in Brussels in 1995 with the objective of reinforcing mutual cooperation and exchange of in-formation among member units in the area of combating money laundering.

Saadallah Agha al-Kalaa, the Minister of Tourism, said that Syria will witness an unprecedented tour-ism season this summer, expecting returns to exceed $3 billion USD. Speaking to the UAE tourism magazine Asfar, Kalaa said that Syria is “seeking to make tourism one of the most important engines of national economy and an essential tool for development.” According to Kalaa, Syria recorded a 15% annual growth in tour-ism in recent years, where-as it had been no more than 8% in the late 1980s. Kalaa pointed out that the estimated value of tourism projects under construction in Syria is $3.4 billion, while the cost of restaurants and hotels currently in operation amounts to $3.6 billion. He expected the number of Arab and foreign tourists to reach 7 million visitors by 2010. Last year, he noted, 3.180.00 visitors came to Syria, generating $2.87 bil-lion in revenue. The Minis-try of Tourism has authorized three grand tourism projects in the coastal city of Latakia, the ancient city of Palmyra, and Damascus. The government has also allocated land for investments from the Arab Gulf, estimated at $3 billion USD. The Ministry has recently organized a tour called “Syrian Tourism Convoy” that covered UAE, Qatar, Bahrain, Berlin, Milan, Moscow and China. It aimed at informing tourism officials in those countries about the various tourism-investment projects in Syria, and available infrastructure for future endeavors.