Syria After December 8, 2024: Addressing the Legacy of Corruption in the Assad Regime and Recovering Looted Funds
Syria underwent a profound transformation beginning on December 8, 2024, the day the Assad family’s regime collapsed after ruling the country for over five decades. One of the main challenges facing the new government is addressing the widespread corruption that permeated all sectors of the state, leading to the looting of vast fortunes, estimated by Western sources to be in the billions of dollars. This corruption was entrenched by the policies of Bashar al-Assad and his inner circle, who exploited the country’s resources for personal gain at the expense of the Syrian people.
Many Syrians, in their interviews with Al Jazeera, have confirmed that the goal of assessing and addressing this legacy is:
- To improve Syria’s position on the global Corruption Perceptions Index.
- To recover the funds looted by Assad and his associates and return them to the state’s treasury to improve the harsh living conditions that most of the Syrian population is currently facing.
Corruption in Syria: The 2024 Global Index
As the new government seeks to improve the country’s situation, the 2024 report from Transparency International paints a grim picture of Syria, which remains on the list of the world’s 10 most corrupt countries. Syria scored just 12 out of 100 points on the Corruption Perceptions Index, placing it at 177th out of 180 countries.
Economic expert Bassam Yaghi described the effects of corruption on the Syrian economy as catastrophic, as it undermined sustainable development plans and led to the squandering of resources. Moreover, corruption has transformed Syrian society into one that suffers from extreme poverty.
The Challenges Ahead: Reforming What the Regime Destroyed
Yaghi emphasized the importance of the new government managing the post-conflict phase under a framework of good governance, aiming to correct the situation through:
- Dismantling the corruption network left by the ousted regime.
- Addressing the economic and social consequences of corruption.
- Clearing the public sphere of influential networks that hijacked the national economy and exploited its resources.
The new government has already begun re-evaluating the assets owned by Assad’s men, as well as the business interests of major businessmen closely connected to the former regime. Minister of Trade Maher Khalil Hassan described the corruption file as “huge,” pointing out that the previous regime completely controlled the national economy.
From Soft Corruption to Hard Corruption
Corruption in Syria has long been tied to the nature of the regime, and according to industrialist and economic researcher Issam Tizini, it began as “soft corruption.” This type of corruption subtly infiltrated economic institutions without significantly disrupting the societal structure. However, with the outbreak of the war in 2011, corruption evolved into a more overt form that began directly affecting the daily lives of Syrians.
Corruption has resulted in two types of poverty within Syrian society: “poverty of money” and “poverty of the ability to live,” with nearly 90% of the population living in poverty, and half of the population living below the extreme poverty line, according to United Nations reports.
Monopolies and Manipulation of Resources
The former regime relied on manipulative policies in managing the national economy, with those close to the regime benefiting from monopolies on essential goods and profiting at the expense of the local economy. Economic expert Abdelsttar Damascusieh highlighted how the regime’s cronies took advantage of preferential policies, allowing them to monopolize trade and government contracts. He also revealed how the regime exploited natural resources and economic projects for the benefit of its inner circle instead of serving the people.
Massive Losses Due to Corruption
The World Bank estimates that Syria’s material losses from 2011 to 2024 reached approximately $600 billion, while the United Nations Development Programme (UNDP) estimates that Syria’s losses in GDP during the same period amounted to about $800 billion.
Sources:
- Transparency International 2024 Reports.
- Statements by economic experts such as Bassam Yaghi and Issam Tizini.
- Reuters Report on Corruption in Syria.
- UNDP Study.