Given the poor development of its own capital markets and Syria's lack of access to international money and capital markets, monetary policy remains captive to the need to cover the fiscal deficit. Although in 2003 Syria lowered interest rates for the first time in 22 years and again in 2004, rates remain fixed by law. In a positive move in 2003, Syria canceled an old and troublesome law governing foreign currency exchange; however, new regulations have yet to be implemented. Some basic commodities continue to be heavily subsidized, and social services are provided for nominal charges.
Syria has made progress in easing its heavy foreign debt burden through bilateral rescheduling deals with virtually all of its key creditors in Europe. In May 2005, Russia and Syria signed a deal that wrote off nearly three-quarters of Syria's debt to Russia, approximately €10.5 billion ($13 billion). The agreement left Syria with less than €3 billion (just over $3.6 billion) owed to Moscow. Half of it would be repaid over the next 10 years, while the rest would be paid into Russian accounts in Syrian banks and could be used for Russian investment projects in Syria and for buying Syrian products. This agreement was part of a weapons deal between Russia and Syria
Doha, I'm coming! Ducks in Doha from 12th - 18th of May :)
from wikipedia:
Given the poor development of its own capital markets and Syria's lack of access to international money and capital markets, monetary policy remains captive to the need to cover the fiscal deficit. Although in 2003 Syria lowered interest rates for the first time in 22 years and again in 2004, rates remain fixed by law. In a positive move in 2003, Syria canceled an old and troublesome law governing foreign currency exchange; however, new regulations have yet to be implemented. Some basic commodities continue to be heavily subsidized, and social services are provided for nominal charges.
Syria has made progress in easing its heavy foreign debt burden through bilateral rescheduling deals with virtually all of its key creditors in Europe. In May 2005, Russia and Syria signed a deal that wrote off nearly three-quarters of Syria's debt to Russia, approximately €10.5 billion ($13 billion). The agreement left Syria with less than €3 billion (just over $3.6 billion) owed to Moscow. Half of it would be repaid over the next 10 years, while the rest would be paid into Russian accounts in Syrian banks and could be used for Russian investment projects in Syria and for buying Syrian products. This agreement was part of a weapons deal between Russia and Syria
Doha, I'm coming! Ducks in Doha from 12th - 18th of May :)