Thursday, 05 Nov, 2026

Defence And Loans

Syria and Saudi Arabia Sign Defence Deal and $403M Loans

UK Desk

Published: November 5, 2026, 10:00 AM

Syria and Saudi Arabia Sign Defence Deal and $403M Loans

Syria and Saudi Arabia have signed a series of bilateral agreements that include a formal defence cooperation pact and more than 400 million dollars in loans directed at key Syrian sectors. The accords were finalised on Wednesday during a visit by Syrian President Ahmed al-Sharaa to Riyadh for meetings with Saudi Crown Prince Mohammed bin Salman.

This marks the second visit by the Syrian leader to the Saudi capital in less than a month. Syria has experienced major political shifts since President Ahmed al-Sharaa came to power following the overthrow of Bashar al-Assad in December 2024. Saudi Arabia has maintained a role as a primary supporter of the new administration in Damascus.

The Syrian Foreign Ministry identified the defence ministry agreement as the most prominent among the newly signed pacts. Officials from both governments declined to release the specific terms or details of the military arrangement.

The defence agreement follows recent remarks by Syrian Foreign Minister Asaad al-Shaibani regarding regional security pacts. Speaking on Saturday at the Manama Dialogue security conference in Bahrain, al-Shaibani stated that his government was evaluating a potential move to join a mutual defence agreement that currently involves Saudi Arabia, Turkiye and Pakistan. Discussions are under way regarding Syria potentially entering the Mecca alliance.

Saudi Arabia has faced ongoing conflict with the Houthi movement in Yemen, where the group has targeted Saudi airports and oil facilities. Riyadh has sought defensive and offensive backing from allies across the Middle East, Europe and the United States in the renewed hostilities.

Alongside the military pact, the Saudi Fund for Development finalised six concessional loan agreements totalling 403 million dollars with the Syrian Finance Ministry. The official Saudi Press Agency reported that the funding targets critical infrastructure, energy, housing, health and civil defence needs.

The financing package allocates 100 million dollars to restore and equip medical facilities damaged during years of conflict. Another 105 million dollars is designated to strengthen civil defence operations, while 90 million dollars will fund the rehabilitation of the Aleppo thermal power plant.

Allocations also include 60 million dollars for repairing damaged housing stock and 30 million dollars to improve drinking water systems across Damascus and Idlib. The two nations concluded a memorandum of understanding covering industrial cooperation, alongside two separate agreements focused on agriculture and environmental protection.

During their discussions in Riyadh, the Syrian presidency confirmed that the two leaders addressed reconstruction plans and the rehabilitation of essential facilities. The talks covered the wider regional and international situation, according to the Syrian Foreign Ministry statement.

Both leaders addressed the impacts of military escalation on regional security, international shipping lanes, energy supplies and the global economy. They urged an immediate halt to actions threatening maritime navigation in the Red Sea, the Bab al-Mandeb strait and the Strait of Hormuz, calling broadly for de-escalation and peaceful dispute resolution.

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