US Removes Syria From Terrorism List After 47 Years, Opening the Way for Investment

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The United States has decided to remove Syria from the list of state sponsors of terrorism, ending a designation that had remained in force since 1979. According to the Trump administration, the move is intended to reduce barriers to investment and open a broader channel for Damascus toward the global economy, even though Syria’s political and security landscape remains far from stable.

US removes Syria from terrorism list after 47 years, opening the way for investment

A major shift in Washington’s approach

The decision marks a significant change in US policy toward Syria. According to US Secretary of State Marco Rubio, the measure comes in recognition of steps taken by Syria’s new government to distance itself from international terrorism.

Along the same lines, President Donald Trump’s administration has moved closer to Syria’s new president, Ahmed al-Sharaa, a figure previously linked to al-Qaeda. That makes the diplomatic shift even more politically sensitive, given the past of the actors now being treated by Washington as new partners.

HTS also removed from US lists

During the same period, Hayat Tahrir al-Sham was also removed from US terrorist organization lists. The group led the offensive that toppled Bashar al-Assad at the end of 2024.

HTS, previously known as the al-Nusra Front, had been al-Qaeda’s Syrian branch. Ahmed al-Sharaa cut ties with that network in 2016, but the weight of that background remains essential to understanding how complicated the new political narrative backed by the US is.

What changes for Syria’s economy

Syria’s removal from the list is expected to reduce some of the strongest barriers to economic activity and investment inflows. The state sponsor of terrorism classification brought heavy financial restrictions, affecting US aid, exports and sales of defense equipment.

Beyond that, the designation also had consequences for companies or other states conducting transactions with Syria, as the risk of exposure to sanctions made the country practically toxic for international business. According to US Treasury Secretary Scott Bessent, the decision could encourage new investment and affect political and economic stability.

Official optimism, but the crises remain

US and Syrian officials have presented the decision as a consequential step. Rubio spoke of a “path to prosperity” for Syrians, while Syrian Foreign Minister Asaad Hassan al-Shaibani called it a “historic step” and said the government would work to end the consequences of isolation.

However, the shift in the US position does not automatically solve Syria’s major problems. The new government has yet to build a fully representative system, while tensions with neighbors, including Israel and Turkey, remain high. In the background, Washington appears to be seeking to draw Syria closer to the West and keep it away from the influence of Russia and China.

Syria was placed on the US list of state sponsors of terrorism in 1979. After its removal, only Cuba, North Korea and Iran remain on the list.

Beyond the political and economic signal sent by Washington, the real test will be whether this move brings concrete change on the ground, or remains only a geopolitical repositioning with an outcome that is still unclear for Syrians themselves.

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