The United States has started to issue new licenses permitting certain financial transactions within Syria after years of sanctions aimed at maintaining pressure on former Syrian leader Bashar al-Assad.
On January 6, the Treasury Department’s Office of Foreign Assets Control (OFAC) revealed a general license that allows a variety of transactions in Syria. This license will be effective for a period of six months, concluding on July 7, with OFAC indicating they will continue to monitor the situation in post-Assad Syria.
“During this transition phase, the Treasury will keep supporting humanitarian efforts and promoting responsible governance in Syria,” stated Deputy Treasury Secretary Wally Adeyemo.
This action follows a surprise offensive launched by Hay’at Tahrir al-Sham (HTS), a Sunni Islamist organization designated as a terrorist group by the United States, targeting regions of Syria previously controlled by Assad. HTS is a rebranding of Jabhat al-Nusra, an offshoot of al-Qaeda.
The HTS-led offensive commenced in late November, and by December 8, Assad had chosen to flee to Russia, marking the end of his 24-year presidency in Syria.
Pro-Assad forces had fought to maintain his power since 2011 amid a complex civil war. Other factions involved in this conflict remain in contention, despite the pro-Assad forces either surrendering or retreating.
After seizing control of the Syrian capital Damascus, HTS established a caretaker government with several of its members assuming key roles. While the terrorist designation against HTS remains, the Biden administration has exhibited a degree of flexibility in its approach following Assad’s removal from power.
Last month, the Biden administration reversed a $10 million bounty placed on HTS leader Ahmed al-Sharaa, also known as Abu Mohammad al-Jolani. On the same day the bounty was lifted, Barbara A. Leaf, the U.S. Assistant Secretary of State for Near Eastern Affairs, met with Sharaa in Syria.
Leaf characterized the decision to eliminate the bounty as a measure to facilitate her discussions with Sharaa, noting that the HTS leader provided some “pragmatic and moderate” statements during their meeting.
This recent relaxation of sanctions comes after requests from several U.S. lawmakers, including Reps. Joe Wilson (R-SC) and Brendan Boyle (D-PA). The two representatives penned a letter to the administration last month advocating for targeted sanctions to be implemented. They asserted that such actions were essential for enabling reconstruction and economic development, which had been hindered during the Assad administration, as part of an effort to keep Assad distanced from Syrian society.
The Treasury Department mentioned this new license would “help ensure that sanctions do not obstruct essential services and the continuity of governance functions across Syria, including the provision of electricity, energy, water, and sanitation.”
However, this license will not unfreeze any assets owned by sanctioned individuals linked to the Assad government, the Central Bank of Syria, or HTS, nor will it permit transactions involving any sanctioned individuals. It allows transactions with the current governing authorities in Syria, along with transactions for “noncommercial, personal remittances to Syria, including through the Central Bank of Syria.” The license also permits transactions to facilitate the flow of energy and fuel within the country.
The future direction of the HTS-led caretaker government remains uncertain. Sharaa expressed that the appointment of HTS members to leadership positions was not intended to alienate other factions that have opposed Assad, but rather to stabilize the country initially.
Sharaa anticipates that various factions will convene for a national conference in March to begin formulating a comprehensive blueprint for Syria post-Assad. He has indicated that drafting a new constitution may take up to three years, with an additional year needed for a population census and organizing the first set of elections thereafter.
This article was originally published by FreeBase News and is reprinted with permission.
