Enab Baladi – Zeinab Dawwa
Many Syrians who have relatives abroad rely on external remittances to cope with the living and economic crisis, and these remittances gain importance at a time when other resources are lacking in the face of rising prices and the fluctuation of the Syrian pound against foreign currencies. Economists have recently attributed this situation to several reasons, the most prominent of which is what they call “speculation,” which threatens the stability of the pound and subsequently the economy.
External remittances sent by Syrians in exile to their families have become a lifeline for thousands of Syrian families in the country.
After the liberation of Syria, the flow of foreign currency into the country increased, coinciding with the return of many expatriates who came back to Syria, in addition to remittances sent from exile.
Ali Issa, a young Syrian residing in Germany, told Enab Baladi that sending financial remittances to Syria has become easier than it used to be, as the previous regime imposed sanctions on Syrians dealing in US dollars and those working in money transfers.
However, today, after the liberation, this problem has vanished, but the value of the remittances has decreased; previously, he used to send $300 to his family in Daraa province, which was worth four million and a half Syrian pounds before the fall of the regime, whereas today it is only worth 3 million, according to Issa.
Estimates indicate that remittances currently amount to approximately $3 billion to $4 billion annually, making them one of the most important sources of national income (accounting for 15-20% of the unofficial GDP). However, they remain a temporary solution in a collapsed economy that relies on survival economics rather than production, as Dr. Abdurrahman Muhammad, Vice Dean of the Faculty of Economics for Administrative Affairs and Student Affairs at Hama University, told Enab Baladi.
“A pebble can support a barrel”
Impoverished families in Syria attempt to adapt to the current circumstances through external remittances. Umayma Ahmad (a woman in her forties) stated that she and her husband rely on the money sent by their son, who is completing his medical specialty in a public hospital in Germany.
Meanwhile, Mufeed Muhammad, an employee still working at the Ministry of Electricity, explained to Enab Baladi that a Syrian employee’s salary is about 300,000 Syrian pounds, but it is insufficient to cover rent or expenses, as a family requires a minimum of 4 million pounds monthly.
For her part, Tamador Shahin, a retired Arabic language teacher, explained that “A pebble can support a barrel,” but nonetheless she and her family find it difficult to adapt to the deteriorating economic reality, adding that her son was compelled to travel to Erbil to secure the family’s living expenses, but he still hasn’t had the chance to find a job that would allow him to send them a small amount.
Hussein Faour, an engineer working at an electrical tools manufacturing company in Germany, told Enab Baladi that he has been sending remittances to his family living in the Mezzeh neighborhood since 2015, sending at least 200 euros every month without interruption. Without these remittances, his family, consisting of seven members, would not have been able to cope with the economic reality.
Faour clarified that this amount is nothing compared to the fact that most citizens are striving to find job opportunities.
“Survival economy”
Dr. Abdurrahman Muhammad, Vice Dean of the Faculty of Economics for Administrative Affairs and Student Affairs at Hama University, stated that external remittances are a vital source for supporting Syrian families amid the ongoing economic crisis and war. These remittances are a lifeline for millions of Syrians, estimated to be in the billions of dollars annually.
The remittances help cover essential needs such as food, medicine, and housing, in addition to supporting the local economy by stimulating markets and providing job opportunities, compensating for the collapse of the Syrian pound through the availability of foreign currency that mitigates inflation impacts, according to Dr. Muhammad.
Regarding the impact of external remittances on the Syrian economy, he mentioned that they help support foreign cash liquidity, such as dollars and euros, which aid in importing basic goods, stimulate the private sector, and increase family spending, thus revitalizing local markets and small projects.
Moreover, they alleviate the economic crisis, being one of the most crucial sources of national income amid sanctions and declining domestic production.
Dr.Muhammad contrasts the positive and negative impacts of remittances, emphasizing that heavy dependence on remittances shows that Syrians are living in an economy similar to a “survival economy,” where the goal of remittances is survival, not development. Without radical solutions, this fragile situation will persist for many years.
He pointed out that the heavy reliance of Syrian families on external remittances indicates several serious structural problems—economic, social, and political—including:
Lack of job opportunities: The inability of the Syrian economy to provide adequate income for the population pushes them to rely on expatriates. Collapse of the Syrian pound: Loss of confidence in the local currency makes remittances essential in dollars or euros. Decline in local production: Agriculture and industry have deteriorated due to war and sanctions, no longer capable of sustaining families. Absence of the primary breadwinner: Many families depend on their expatriate children after losing their primary provider due to death, arrest, or migration. Economic dependency: Loss of financial independence for families makes them vulnerable to shocks, such as the cessation of remittances due to crises in the countries of expatriates. Non-productive economy: Society has turned into a “consumer society,” relying on financial transfers from expatriates rather than local production. Food security fragility: Lack of investments in agriculture and industry increases the risk of famine if remittances are disrupted.Far below the poverty line
Economic researcher Muhammad al-Saloum told Enab Baladi that external financial remittances have become the almost sole support that maintains the minimum capacity for Syrian families to continue, especially given the significant decline in local wages against the cost of living.
Al-Saloum confirmed that the figures circulating about the value of remittances coming to Syria daily, which range from 5 to 7 million dollars on regular days and exceed 10 million dollars during seasons and holidays, indicate Syrians’ reliance on this source in the absence of any internal support.
He added that these remittances are mostly used to meet basic needs such as food, medicine, and rent, without contributing to the production cycle or having a tangible impact on markets, limiting their overall economic effect despite their financial and social importance.
The researcher pointed out that this increasing reliance on remittances reveals a profound imbalance in the structure of the Syrian economy, placing families in a state of perpetual fragility, as any interruption of remittances for any reason means a collapse in their ability to secure their needs.
If political or financial changes occur in countries of exile, or if money transfer companies face additional constraints or harassment, Syria faces a highly dangerous economic scenario, especially since the government lacks alternative tools to compensate for this sudden loss, according to the researcher.
Al-Saloum links the income crisis with declining living standards, stating that the Syrian citizen now works for a wage that covers only a few days of the month, with the minimum wage in the public sector hovering around 278,000 Syrian pounds, while a family of five requires over 8 million pounds monthly.
The deep gap has pushed a wide segment of Syrians to rely entirely on remittances or resort to informal activities as survival solutions, according to al-Saloum.
He indicated that this creates a fertile environment for smuggling, corruption, and economic deterioration.
The economic researcher noted that depending on remittances may be a temporary solution, but it is not a sustainable strategy, urging the activation of productive policies, supporting real work within the country, and improving the investment environment as true alternatives in the medium and long term.
Crisis of the Syrian economy
According to a report published by the World Food Programme (WFP), after 14 years of conflict and economic collapse, Syrians are increasingly struggling to support their families, with Syria ranking second worldwide in terms of internally displaced persons.
Due to the crisis afflicting the Syrian economy, the cost of living has tripled over the past three years, where the minimum wage barely covers one-fifth of a family’s basic food needs and one-tenth of essential requirements.
Due to funding shortages, the World Food Programme was forced in 2024 to reduce its assistance by about 80%, prioritizing support for individuals facing severe food insecurity.
Two reports from the World Bank released on May 24, 2024, indicated that the deteriorating economic situation has significantly impacted the welfare of Syrian families and that persistent funding shortfalls and limited humanitarian aid have drained families’ ability to meet their basic needs amidst rising prices, deteriorating basic services, and increasing unemployment rates.
Moreover, poverty in Syria has a strong spatial significance, with more than 50% of the most impoverished groups living in just three provinces (Aleppo, Hama, and Deir Ezzor), with the provinces in northeastern Syria recording the highest poverty rates, while female-headed households and internally displaced families are the most vulnerable to poverty risks.
Remittances: “Survival economy” enhances vulnerability and dependency Enab Baladi.
Read More Details
Finally We wish PressBee provided you with enough information of ( Remittances: “Survival economy” enhances vulnerability and dependency )
Also on site :
- Country Star Reveals He Soiled Himself Onstage in Major 'TMI' Moment
- ‘He’s got MS-13 tattooed onto his knuckles’: Trump appears to hold up photoshopped image of Abrego Garcia’s hand
- 'Fire Country' Star Stephanie Arcila Goes Inside Gabriela’s Stalker Storyline (Exclusive)