Syria’s temporary government plans to increase public sector salaries by four times

Syria’s temporary government plans to increase public sector salaries by four times next month. This will happen after they finish reorganizing the government ministries to make them more efficient and accountable, according to Finance Minister Mohammad Abazid.

Additional financial burden

The extra cost of raising salaries is about $127 million (1.65 trillion Syrian pounds). This will be paid using the current state budget, regional help, new investments, and money from Syrian assets frozen abroad.

Abazid said this is “the first step towards an emergency solution to the country’s economic problems.” The salaries for public sector workers will be paid this week.

These actions are part of a larger plan by the new interim government to stabilize the economy after nearly 13 years of conflict and sanctions.

The salary increase will be approved after reviewing the records of about 1.3 million public sector employees. The goal is to remove fake employees from the payrolls, so the increase benefits those with the right skills and qualifications needed for rebuilding the country.

The minister mentioned that the money in the central bank is enough for the first phase of rebuilding, which should last for one to three months.

He acknowledged there are cash flow issues, which is expected after a war. However, they have been promised financial support from nearby countries, and new investments are expected to help. This will bring money into the state budget and help fund the salary increase.

The government also expects to recover up to $400 million from frozen Syrian assets abroad to help pay for initial government costs.

Surprising Fact

The highest salary for employees in Syria is $25, according to Abazid. This shows that most workers in both private and public sectors, or most people under the past regime’s control, were living below the poverty line.

Exemptions

“The Syrian Interim Government is also looking into ways to reduce fines and interest for taxpayers, as much as possible. They are working on changing the tax system over the next three months to make it fairer for everyone. A first version of the new tax system should be ready within 4 months.”

“In the next few months, probably within 3 or 4 months, a new tax system will be introduced that aims to be fair to all taxpayers,” said Abazid.

Published: 6th January 2025

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