The United States has officially removed Syria from its list of state sponsors of terrorism, a major decision that could open the door to increased foreign investment and help Syria reconnect with the global financial system.
The decision took effect on Monday after a 45-day review by the U.S. Congress. U.S. Secretary of State Marco Rubio said the move recognized steps taken by the Syrian government under President Ahmed al-Sharaa to distance the country from international terrorism.
Syria had been on the U.S. terrorism list since 1979, when Washington accused the government of former President Hafez al-Assad of supporting militant groups. The designation remained during the rule of his son, Bashar al-Assad, who was overthrown in December 2024.
Syrian Foreign Minister Asaad al-Shibani described the removal as the last major obstacle to investment and economic reconstruction. He said the decision could help Syria reconnect with international banks, attract investment and rebuild its economy after nearly 14 years of war.
The United States had already ended its broader sanctions on Syria in July 2025, while keeping targeted sanctions against Bashar al-Assad and his associates, human-rights abusers, drug traffickers, Islamic State and al-Qaeda affiliates, and Iranian-backed groups.
Cuba, Iran and North Korea Remain
The U.S. also removed the Nusrah Front from its list of Specially Designated Global Terrorist organizations.
With Syria's removal, Cuba, Iran and North Korea are now the only countries remaining on the U.S. list of state sponsors of terrorism.
The designation imposes restrictions on U.S. foreign assistance, defense exports, certain dual-use goods and financial transactions, making it a major concern for banks and international investors.
Growing Interest from International Companies
Interest in Syria's economy has already increased ahead of the announcement.
Syria's Finance Minister Mohammad Yisr Barnieh recently held discussions with Bank of America executives about potential cooperation and the country's reintegration into the international financial system.
Mastercard has also announced plans to work with QNB Group and Syria's central bank to develop infrastructure for international card payments.
The Syrian government is seeking billions of dollars in foreign investment to rebuild infrastructure and revive the economy.
Closer US-Syria Cooperation
The decision followed months of negotiations between Washington and Damascus.
U.S. President Donald Trump notified Congress of his intention to remove Syria from the terrorism list after meeting President Ahmed al-Sharaa in Ankara in July. Trump said he wanted to remove barriers preventing Syria from rebuilding.
Syria also agreed to significantly reduce its imports of Russian oil during discussions with Washington, according to sources familiar with the negotiations.
The Trump administration has increasingly supported closer relations with Sharaa's government, citing its cooperation against Islamic State and its commitment to stabilizing Syria and attracting international investment.
In summary: The U.S. delisting represents a significant diplomatic and economic shift toward Syria. It could make it easier for international banks and companies to operate in the country and potentially accelerate Syria's post-war reconstruction.
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