IMF Forecasts Syria’s Economy to Expand 10% in 2026 Amid Continued Recovery - Business Today Middle East
The International Monetary Fund (IMF)has projected that the Syrian economy will grow by more than10% in 2026, as signs of economic recovery continue to strengthen following a period of significant. . .
The International Monetary Fund (IMF)has projected that the Syrian economy will grow by more than10% in 2026, as signs of economic recovery continue to strengthen following a period of significant challenges. The forecast was issued after an IMF staff team completed a visit to Damascus, with the Fund stating that Syria’s economic momentum is expected to continue into2027, supported by improved activity across productive industries and services, alongside ongoing economic reforms. According to the IMF, Syria’s recovery began gaining momentum in2025, driven by improving consumer and investor confidence, the return of approximately1. 5 million refugees, and the country’s gradual re-engagement with regional and global economies. These developments helped counter the impact of drought conditions that affected agricultural output. The Fund also highlighted improvements in Syria’s fiscal position, noting that the government achieved a modest budget surplus in 2025. It expects public revenues to increase in 2026, supported by stronger tax and customs collections, higher hydrocarbon revenues, and additional income from sources such as telecommunications licensing and fuel transit fees. However, the IMF noted that inflation increased during 2026, mainly due to external pressures including higher import costs for fuel and food, rising domestic demand, and increased service costs. The IMF emphasized the need for continued structural reforms, including strengthening public financial management, improving revenue collection, accelerating banking sector rehabilitation, modernizing regulatory frameworks, enhancing anti-money laundering and counter-terrorism financing measures, and improving the quality of economic data.