Syria and Saudi Arabia sign defense pact and $403 million loan package
The agreements, signed in Riyadh, include specific funding for healthcare, housing, and energy projects in Syria.
By Adrian Parker ·
Syria and Saudi Arabia formalized a new defense cooperation framework and approved a $403 million loan package on Wednesday. The signings took place during President Ahmed al-Sharaa’s second visit to Riyadh in under a month. This latest round of agreements includes specific financial commitments for energy, housing, health, and infrastructure sectors.
The Syrian Foreign Ministry identified the defense agreement as the most prominent of the deals, though it did not release the specific terms. The accord was signed days after Foreign Minister Asaad al-Shaibani indicated that Damascus was considering joining a mutual defense pact involving Saudi Arabia, Turkiye, and Pakistan. Al-Shaibani stated at the Manama Dialogue in Bahrain that discussions are underway to evaluate Syria’s entry into that grouping, known as the Mecca alliance.
Saudi Arabia has recently sought defensive and offensive support from the United States, Europe, and other regional partners. This search for backing occurs as the country engages in a renewed conflict with the Houthis in Yemen. The Houthi group has targeted Saudi airports and oil facilities while fighting forces aligned with Yemen’s internationally recognized government.
During their talks, al-Sharaa and Crown Prince Mohammed bin Salman addressed the current regional and international situation. The Syrian Foreign Ministry reported that the leaders discussed the effects of military escalation on security, the safety of shipping, energy supply reliability, and global economic stability. Both sides called for de-escalation and urged an immediate stop to actions threatening maritime navigation in the Red Sea, the Bab al-Mandeb strait, and the Strait of Hormuz.
The Saudi Fund for Development agreed to provide the $403 million in loans under six separate agreements with Syria’s Finance Ministry. The funds are available on concessional terms. The breakdown includes $100 million for rebuilding and equipping damaged healthcare facilities, $60 million for repairing housing, and $105 million to strengthen civil defense capabilities. An additional $90 million is allocated to rehabilitate the Aleppo thermal power plant, while $30 million will support drinking water systems in Damascus and Idlib.
Beyond the financial and military deals, the two governments signed memoranda of understanding on industrial cooperation, agriculture, and environmental protection. Saudi Arabia has been a key financial backer of the Syrian government since al-Sharaa took power following the overthrow of Bashar al-Assad in December 2024. The leaders met previously in Riyadh on October 6 to discuss reconstruction plans, including the rebuilding of damaged infrastructure and essential facilities.
