Qatar Is Powering Syria

For Syria, Qatar’s money is power.

On July 31, the Qatar Fund for Development announced plans to fund a surge of natural gas deliveries to Syria. Deliveries began on August 2. The gas, which is flowing from Azerbaijan to a power station in Aleppo via Turkey, is expected to boost Syria’s power-generating capacity by 400 megawatts. That means hours more electricity every day for more than 5 million people.

At a ceremony inaugurating the project in Kilis, a southern Turkish city bordering Syria, Turkish Energy Minister Alparslam Bayraktar said that the exports “will help activate a power plant with a capacity of around 1,200 megawatts,” and that Turkey “will transport natural gas to Aleppo and from Aleppo to Homs,” enabling “the power plants there to be put into operation in the near future.”

The latest pipeline deliveries represent Qatar’s third venture in the Syrian energy market. In March, Qatar began transferring natural gas to the Deir Ali power plant in Damascus via Jordan, adding 400 megawatts of capacity. Two months later, the Syrian government signed a $7 billion memorandum of understanding with the United States, Qatar, and Turkey for the construction of four power plants and one solar farm in Syria. Combined, the installations are expected to satisfy more than 50 percent of Syria’s electricity needs.

Qatar’s Growing Role in Post-Assad Syria

Qatar began expanding its role in Syria immediately after Assad’s fall. Emir Sheikh Tamim bin Hamad Al Thani was the first foreign head of state to visit Syria under its new leadership, and Qatar was the second country, after Turkey, to reopen its embassy in Damascus. These moves were hardly surprising given Qatar’s historic support for Syria’s new leaders, who were formerly members of the Al-Nusra Front — al-Qaeda’s branch in Syria.

Meanwhile, the Syrian government signed a $1.5 billion memorandum of understanding on June 30 with a Qatari entertainment company to establish an “integrated project for a media, film, and tourism production city in Syria” called “Damascus Gate.” Qatari food and dairy manufacturer Baladna is also moving ahead with a $250 million venture to launch “an integrated industrial project comprising a dairy plant, a juice processing plant, a plastic packaging manufacturing facility, and an advanced water treatment facility” in Syria.

Gulf States Compete for Influence in Syria

Qatar and Saudi Arabia have also found common ground in efforts to ease Syria’s economic crisis. In May, Qatar rolled out a three-month, $87 million grant to subsidize Syrian public-sector salaries and cleared Syria’s $15.5 million debt to the World Bank in partnership with Saudi Arabia.

But while the Gulf states are able to work together on some aspects of Syria’s reconstruction, the battered nation has become a battleground for influence. So far, Saudi Arabia has taken the lead, not only in investment (Saudi companies have pledged more than $6 billion in investments across key sectors), but also in political engagement with Damascus. Riyadh had repeatedly expressed support for Syria’s territorial unity and has positioned itself as a key protector of the country’s interests. As President Donald Trump noted when announcing sanctions relief in Riyadh, it was Saudi Crown Prince Mohammed Bin Salman who personally lobbied for lifting U.S. sanctions on Syria, saying, “Oh, what I do for the crown prince.”

U.S. Should Remain Cautious About Terror Finance Regulations

While increasing Syrians’ access to electricity seems like an unqualified good, the United States should remain cautious and closely monitor all investments. It is critical to ensure that entities do not use the funds to finance terrorism. This concern is particularly relevant given that the Syrian army has integrated foreign fighters into its ranks who still have active ties to al-Qaeda. It also continues to host several designated terrorist organizations, such as foreign groups like Katibat al-Tawhid wal-Jihad. Washington must remain prepared to reimpose targeted sanctions on any groups or entities in Syria that exploit new investments to facilitate terror financing.

Ahmad Sharawi is a research analyst at the Foundation for Defense of Democracies (FDD), where Natalie Ecanow is a senior research analyst. For more analysis from the authors, please subscribe HERE. Follow Ahmad on X @AhmadA_Sharawi. Follow Natalie on X @NatalieEcanow. Follow FDD on X @FDD. FDD is a Washington, DC-based, nonpartisan research institute focusing on national security and foreign policy.