Assessment of European Union Syria Sanctions Exemptions and Suspensions announced in Feb 2025

On 24 February 2025, the EU enacted its most significant changes to Syria sanctions since 2011, introducing permanent exemptions and suspensions to support Syria’s transition and economic recovery after the fall of the Assad regime in December 2024. The revisions removed four public banks from the sanctions list, allowed limited transactions with the Central Bank of Syria, eased EU-Syria banking restrictions, and lifted bans on importing Syrian oil, exporting energy equipment, and investing in the power sector. Temporary humanitarian aid exemptions were made permanent, and travelers can now bring personal luxury items into Syria, though commercial sales remain prohibited. Reinstating sanctions would require unanimous EU approval, with no automatic snapbacks. However, U.S. secondary sanctions, compliance risks, Syria’s FATF gray-listing, and global “de-risking” continue to deter engagement, limiting the economic impact without broader reforms and regulatory assurances.