The Kingdom has become the primary architect of Syria’s reconstruction after a delegation headed by Saudi Investment Minister Khalid Al Falih signed a sweeping slate of agreements worth bns of SAR in Damascus yesterday. The agreements span aviation, telecoms, energy, infrastructure, and real estate, signaling a major push to help jumpstart the war-scarred economy.

Let the reconstruction begin

First stop, rebuilding Aleppo airport: At the center is a SAR 7.5 bn redevelopment of Aleppo International Airport, which will see Saudi public and private players build a new terminal, upgrade and operate the existing facility during construction, and finance an integrated navigation radar system covering Syrian airspace. The project marks the first investment under the Elaf Fund.

Flynas plants wings in Damascus: The aviation push also includes a joint venture between the Syrian Civil Aviation Authority and flynas to launch a new carrier, Nas Syria, for passenger and cargo operations, according to a press release. Syria will hold a 51% stake, and flynas will own the remaining 49%, with flights expected to begin in 4Q 2026.

AND- STC will wire Syria: STC will develop Syria’s fibre-optic backbone, data centers, subsea links, and internet connectivity under the Silk Link project, investing more than SAR 3 bn, SPA reports. The network is set to extend over 4.5k km and deliver speeds exceeding 150 terabits per second, according to Sana. This builds on earlier talks in June with regional operators (including Zain, Etisalat, STC, and Ooredoo) over a roughly USD 300 mn fibre-optic rollout.

Utilities and manufacturing got some love too: Acwa Power and the Water Transmission Company will study a seawater desalination plant with a planned capacity of about 1.2 mn cbm per day, alongside a related transmission pipeline. Separately, Riyadh Cables Group will operate and upgrade the Syrian Modern Cable Company under an agreement with Syria’s sovereign fund, modernizing factories and transferring technical expertise.

Why it matters

A familiar playbook: The Kingdom’s strategy in Syria mirrors Riyadh’s domestic playbook of using state-linked firms (STC, Acwa Power, flynas) to de-risk large-scale infrastructure bets. This is the starting gun for Syria’s reconstruction era. Saudi providing investment coverage for its firms to enter Syria signals a massive reduction in sovereign risk for the broader regional private sector, hopefully drawing more capital to the Levantine nation.

What it means for Saudi: Riyadh’s shift from capital-rich donor to hands-on strategic operator signals a new approach to managing regional risk. Instead of relying on political agreements alone, the Kingdom is deploying infrastructure and telecoms to anchor influence, sideline rivals, and stabilize a post-conflict economy. For senior investors, the reopening of banking channels and the rollout of investment are the clearest indications yet that Syria is being drawn into Saudi Arabia’s economic orbit.

Why now? The latest agreements follow the full removal of US sanctions in late 2024 and build on a USD 6.4 bn Saudi investment pledge made in October.

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