Syrian President, Ahmed al-Sharaa has welcomed the United States’ decision to remove Syria from its list of State Sponsors of Terrorism, hailing the move as a historic development that could help open the way for greater investment, reconstruction and economic recovery after 14 years of civil war.
In a statement, al-Sharaa thanked U.S. President Donald Trump and expressed appreciation to countries that had supported Syria during its efforts to emerge from years of conflict and international isolation. Addressing Syrians, al-Sharaa said that the country was turning away from what he described as a painful chapter in its history and preparing to focus on development, reconstruction and rebuilding.
“Great people of Syria, you have done it again. Sanctions have been lifted and restrictions removed. I ask God to help us serve you.”
Ahmed al-Sharaa
Al-Sharaa said that the removal of the designation marked an important moment for Syria as it seeks to rebuild its institutions, restore its economy and strengthen its relations with the international community.
His remarks came after came after the United States removed Syria from its list of “State Sponsors of Terrorism.” The U.S. decision formally took effect following a 45-day congressional review period. President Trump had notified Congress on July 8 of his intention to rescind Syria’s decades-old designation, setting in motion the process that led to the country’s removal from the list.
U.S. Secretary of State Marco Rubio said that the decision was made in recognition of what Washington described as positive steps and further commitments by al-Sharaa’s government to distance Syria from acts of international terrorism.
The United States had listed Syria as a State Sponsor of Terrorism since 1979, when Washington accused the government of former President Hafez al-Assad of supporting armed groups. The designation remained in place throughout the rule of his son, Bashar al-Assad, whose government was overthrown in December 2024 by rebel forces led by al-Sharaa.
The removal is significant because the State Sponsor of Terrorism designation carried far-reaching restrictions on Syria’s access to international markets. It affected U.S. foreign assistance, defence exports and sales, certain dual-use goods and a range of financial transactions. The designation had also continued to discourage banks, investors and international companies from engaging with Syria, even after Washington began dismantling its broader sanctions programme against the country.
U.S. Treasury Secretary Scott Bessent said the latest decision could help encourage investment. “Today’s action will help foster additional investment in Syria to promote political and economic stability,” Bessent said, adding that the move was consistent with Trump’s commitment to provide sanctions relief to Syria.
The U.S. action also included the revocation of the designation of al-Nusrah Front, the armed group formerly led by al-Sharaa and later associated with Hayat Tahrir al-Sham, or HTS. The group was previously known as al-Qaeda’s official branch in Syria before al-Sharaa distanced his movement from the organisation.
The decision represents a further sign of Washington’s willingness to engage with al-Sharaa, who has sought to reshape Syria’s international image since taking power. His administration has pursued closer ties with Western governments and regional partners, while al-Sharaa himself has met with President Trump and French President Emmanuel Macron as part of a broader diplomatic outreach effort.
A Shift In U.S-Syria Relations
Syria’s Ministry of Foreign Affairs described the U.S. decision as an important shift in relations between Damascus and Washington. The ministry said that the move “opens a new chapter in international relations with Syria” and could support efforts to rebuild the economy, improve conditions for reconstruction and strengthen stability in Syria and the wider region.
The country’s economic officials also welcomed the decision, stressing its potential importance for reconnecting Syria with the international financial system. Central Bank Governor Safwat Raslan called the move “a historic step that restores the country to its natural place in the global economic system.” He said that the central bank was working to establish what he described as a modern and reliable financial system capable of supporting Syria’s economic recovery.
Finance Minister Mohammed Barnieh likewise described the decision as “a major and historic success for Syrian diplomacy.” He said it could open a long-awaited path towards deeper integration with the global economic and financial system, helping Syria attract investment, access modern technologies and create new development opportunities.
The removal of the designation does not, by itself, resolve the challenges facing Syria after more than a decade of war. The country continues to confront extensive infrastructure damage, economic hardship and the difficult task of rebuilding institutions and restoring public services.
However, the decision could reduce one of the major barriers that has discouraged international banks, businesses and investors from entering the Syrian market.
The development offers a significant diplomatic boost and strengthens its argument that Syria is moving away from its past isolation. The President’s message focused on that transition, presenting the moment as an opportunity to move beyond conflict and concentrate on rebuilding the country.
As Damascus seeks to translate improved diplomatic relations into economic gains, the response of foreign governments, financial institutions and investors will be closely watched.
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