Qatari Acquisition Revives Syria's Banking Sector

Qatari group Estithmar Holding is acquiring key stakes in Syria's Shahba Bank and Syrian International Islamic Bank, marking the first foreign banking acquisitions in Syria since the Assad era. This move follows the lifting of U.S. sanctions on Syria and aims to recapitalize the banking sector.

Qatari group Estithmar Holding is poised to take control of Syria's Shahba Bank and secure a 30% interest in the Syrian International Islamic Bank. This landmark acquisition marks the first instance of foreign banking endeavors in Syria since the era of former leader Bashar al-Assad, according to sources.

The transactions follow the removal of U.S. sanctions on Syria last year, coinciding with efforts by the Syrian central bank to revive a struggling banking sector impacted by over a decade of war and sanctions. Estithmar, linked to the Doha-based Power International Holding led by Moutaz and Ramez Al-Khayat, is set to claim a controlling 60% stake in Shahba by purchasing shares from Banque Bemo Saudi Fransi and Ahli Trust Bank.

The Qatari partners already hold 30% of SIIB. Regulatory approval is still pending for these acquisitions. Syrian Central Bank Governor Abdelkader Husrieh withheld specific comments on the matter but affirmed support for initiatives that bolster the stability and governance of Syria's banking landscape.