Syria flies in fresh banknotes from Russia as cash crunch hits economy

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The Syrian central bank has flown in new notes to reduce new cash deficit from Russia, which is fighting to work on its economy.

On Friday, the central bank said that Syrian pounds came from “Russia to Damascus International Airport in Syria” but did not confirm the amount. Bankers and traders said that the cash was badly needed because the deficit was severely obstructing the business.

The flight refers to a field of continuous dependence on Russia for the new government of Syria, which is facing inconvenience to the notes from the West due to state sanctions, forced to discuss delivery from a country that was closely alliance that was closely alliance Bashar al-AssadThe

A textile manufacturer and retailer asking for anonymity said that this deficit reached a point where “people stopped keeping the bank in the bank because they feared that they couldn’t figure it out”.

Rumors were broadcast on Syria’s social media about the arrival of the awaited notes, but the central bank said on Friday that “the statistics propagated about the size and quantity of this money” were “completely wrong” without confirming.

Foreign Minister Asad al-Shaibabi told the Financial Times last month that the central bank under Assad’s government would order the shipment of printed currency from Russia if needed. Gohnak, the state -run Russian printer, Notes supplyWhich must be replaced regularly.

Western note printers will not be able to put the supplies at the top immediately and will be reluctant to pay cash in the light of continuous sanctions against the country, according to note experts, the new government is now dependent on Gazanak.

It is also unclear whether the new government is trying to take some Syrian notes out of circulation. One of the two most used notes, 2,000 Syrian pound bills, play Assad’s image, who is now living in Russia.

The central bank raised a temporary limit for the withdrawal of the central bank late last month, but the business and retailers of cash from banks are still frequently turned away.

Some private banks are receiving up to £ 600MN ($ 46,000) every day from the central bank in recent weeks, two bankers on condition of not being named.

Traders say that this amount is not close enough to continue the business. The manufacturers and traders cannot access most of their bank deposits for the supplier and pay payments.

“Traders are paying the employees from them [cash] Reserves, and it has worked for two months, but how long can they last? “A banker said.

Transfers between the banks are still available, traders sometimes use this method to buy and sell products – such a system One trader is compared to “sudo barting”.

The lack of information on how many Syrian pounds are prevalent in cash deficit have intensified.

Unlike most central banks, Syria does not make weekly statements with the details of the amount of notes in the circulation. Its website is accessible, adding its activities to opaque.

Notes are often destroyed and taken out of the daily basis due to wear and teas, the central banks around the world constantly re -fill their stock.

The two -decade -old private banking system in Syria was originally used for commercial purposes, with the risk of holding their own cash.

When the small number of private banks started requesting financial information from the adhoc tax applying for big earners, the tendency to avoid the banking system in the years of approaching Assad’s decline increased.

The Syrian economy has already been shattered by a wide range of civil war, Assad government and western sanctions, including its banking sector.

Traders say that despite the widespread enthusiasm for the ousting of Assad, their sales have decreased. Some are still under pressure even after removing the export prohibition, which means they have to sell existing stocks now.

Textile traders say, “People are not spending because they don’t know what to happen.” “The companies are not spending because there is no cash earning, and the main priority is paying the employees.”

Western governments, already, had left most of the sanctions on Syria and its banking sectors. Drawing some officers, including the EU Road maps to make the arrangement easier At the end

Jihad Yazigi, editor of the News Outlet Syrian report, said, “There are several signs of lack of confusion and clarity.” “The economy is a big, big problem. The The To confirm this is an important test for the new authority in Damascus [a] Uninterrupted supply. The The Energy and bread and more generally, confirm that the economy restarts. “