Syrian currency woes: Regime pledges to reverse pound’s falls as economy deteriorates

Syrian currency woes: Regime pledges to reverse pound’s falls as economy deteriorates
Syrian currency woes: Regime pledges to reverse pound’s falls as economy deteriorates

Thank you for your reading and interest in the news Syrian currency woes: Regime pledges to reverse pound’s falls as economy deteriorates and now with details

Hind Al Soulia - Riyadh - A new Syrian prime minister appointed by Bashar Al Assad has pledged to reverse “unjustified” falls in the Syrian pound which are hitting livelihoods in regime areas.

The announcement by Hussein Arnous comes ahead of toughened US penalties against the regime, in the Caesar Act, which are due to come into effect this week.

A sharp weakening in the Syrian pound partly contributed to demonstrations denouncing five decades of Assad family rule, breaking out last Sunday in the mostly Druze province of Suweida, and which the authorities consider to be loyalist.

The official news agency said Arnous pledged after a cabinet meeting on Saturday “to take all necessary measures to restore the exchange rate,” describing sharp falls this month as “unjustified volatility”.

The pound is trading at 2,275 pounds to the US dollar, data by currency monitor The Syrian Pound Today showed.

The current rate is a sharp improvement from the 3,000 pounds to the dollar when the demonstrations started in Suweida a week ago.

The authorities will “continue to pressure the market and boost supervision of money exchange companies,” the agency said.

It said the government will support steps by the central bank to encourage people to use official channels to send hard currency into regime areas, under which dollars would have to be converted to Syrian pounds at a rate determined by the authorities, not the market.

A Syrian businessman attributed the improvement in the exchange rate to business people in Damascus pumping dollars in the market upon the request of the regime.

He said restrictions have been also eased on receiving remittances after people were discouraged from transferring dollars in regime areas.

The official exchange rate for remittances has been altered to resemble more the market rate, he said.

“These steps do not improve the economic fundamentals and do not mean that the improvement in the exchange rate will be sustained,” the businessman told The National from .

Regional bankers say sharp falls in the value of the pound earlier this month are related to the drying up of the dollar supply from Lebanon after a financial crisis that hit Lebanon in October-November last year deepened.

They say a tougher US stance against the regime also dampened expectations of any international reconstruction assistance. The pound was trading at around 50 to the dollar on the eve of the Syrian revolt in March 2011.

The Caesar Act is due to come into effect on the Wednesday. It specifically targets individuals and companies whose ties with the Syrian regime are deemed perpetuating its human rights violations.

Photos taken by a photographer, who defected from the Assad military, and is codenamed Caesar, prompted the legislation.

International human rights organisations say the photos, which were made public in 2014, constitute evidence of the killing of thousands of political prisoners in the regime’s jails.

The new Syrian prime minister, a Sunni, was appointed on Thursday. His position is powerless, with all real power held by Mr Assad and an inner circle who belong to Mr Assad’s Alawite sect.

Another demonstration demanding the down fall of Mr Assad took place in Suweida on Saturday, marked similar to the previous protests, by the participation of women.

Regime forces have largely stayed away from the demonstrators in Suweida.

The mostly hands-off approach so far by the regime toward Suweida is partly due to the nature of the heavily armed society in the province and a balance of power between involving Hezbollah and Russia, who back different local actors.

Updated: June 14, 2020 11:53 PM

These were the details of the news Syrian currency woes: Regime pledges to reverse pound’s falls as economy deteriorates for this day. We hope that we have succeeded by giving you the full details and information. To follow all our news, you can subscribe to the alerts system or to one of our different systems to provide you with all that is new.

It is also worth noting that the original news has been published and is available at The National and the editorial team at AlKhaleej Today has confirmed it and it has been modified, and it may have been completely transferred or quoted from it and you can read and follow this news from its main source.

NEXT FilGoal | News | A French talent coming into...