U.S. repeals Caesar Act in shift toward Syria normalization

Syria’s Foreign Ministry on Friday welcomed the permanent lifting of U.S. sanctions, calling the move a key step toward rebuilding a country devastated by more than a decade of civil war.

The U.S. Congress approved the repeal on Wednesday, ending sanctions imposed under the so-called Caesar Act, adopted during the rule of former president Bashar al-Assad, who was ousted in December 2024. The law had effectively cut Syria off from the international banking system and dollar-based transactions.

In a statement, Damascus said the decision marked “the beginning of a phase of reconstruction and development” and urged Syrians at home and abroad to take part in national recovery efforts.

The Caesar Act had already been suspended twice for six-month periods following President Donald Trump’s announcement in May that Washington would lift sanctions as part of a broader normalization of relations with Syria.

The move came after pressure from Saudi Arabia and Turkey, both allies of Syria’s new government led by Ahmad al-Chareh, a former jihadist leader. Al-Chareh had pushed for a full repeal, arguing that the continued existence of the law discouraged foreign investment due to legal risks.

After 13 years of war, Syria is seeking funding for reconstruction costs estimated by the World Bank to exceed $216 billion.