AGP Executive Report

Nuclear Safeguards: The IAEA says Assad-era Syria was building a reactor in Deir al-Zor that was “almost completed” and configured to efficiently produce fissile material for possible nuclear weapons use, after inspectors uncovered reactor fuel and about 73 metric tons of uranium metal; Syria’s new authorities are now working with the agency to close past safeguards gaps. Oil & Gas Deals: AK&M published an M&A digest covering major moves across oil and gas, including Serica’s planned Pharos Energy asset buyout, BP’s stake sale plans tied to Kirkuk operations, and refinery/project transactions spanning Europe and the Middle East. Trade & Logistics at Borders: Syria–Türkiye traffic surged through Öncüpınar/Bab al-Salama in the first eight months of 2026, with 1.23M travelers and 46,480 trucks moving nearly 1.1M tons of goods, as both sides modernize crossings to boost overland trade. Regional Energy Infrastructure: Iraq says export capacity is already above 3M bpd and aims for 5M bpd once pipelines to Fishkhabur and Syria’s Banias port are finished, positioning Syria as a Mediterranean outlet for crude. Groundwater & Water Tech: KISR and the IAEA launched a regional project meeting on using nuclear techniques to map groundwater vulnerability and protection zones amid climate and pollution pressures, with Syria among participating countries. Security & Shipping Disruption: Reports say a sanctioned Russian ro-ro cargo ship, Lady Mariia, was hit by drone-dropped munitions near Crete while heading toward Syria, underscoring how Mediterranean logistics remain exposed.

Energy & Trade Corridors: Iraq says oil export capacity has already topped 3 million bpd and targets 5 million bpd after pipelines linking Iraq’s fields to Fishkhabur and Syria’s Banias port are completed—an effort to diversify routes beyond the Strait of Hormuz. Regional Power & Industry: Jordan approved supplying Lebanon with natural gas via Aqaba’s LNG regasification, then transporting it through Syria—while also pushing an energy-efficiency program in government buildings to cut bills by about 20%. Water & Sustainability: Kuwait’s KISR and the IAEA launched a regional push to protect groundwater using nuclear techniques, including vulnerability mapping with experts from Syria, Lebanon, Jordan, Iraq and others. Agriculture Under Strain: Israeli shelling in Syria’s Quneitra countryside killed sheep in grazing areas, underscoring how conflict disrupts local farming and livestock production. Business & Investment Signaling: Damascus’s International Fair, under the theme “Syria Shines Again,” drew nearly 1,000 participating entities from about 60 countries as Syria’s economy and industry ministry sought renewed market ties. Governance & Finance Watch: A report questions whether Syria’s Sovereign Fund director-general was formally appointed, even as the 2025 decree defines the fund’s leadership and reporting rules.

Damascus Trade Push: Syria’s Economy and Industry Ministry and the Damascus International Fair Administration wrapped the 63rd Damascus International Fair under “Syria Shines Again,” with companies and entities from about 60 countries attending and a new Damascus World Economic Forum platform bringing government, private sector, investors and partners into the mix. Southern Agriculture Under Fire: Israeli shelling hit Quneitra’s countryside, including agricultural land west of Al-Mashaala where sheep were killed, while other strikes were reported near Al-Rafid and Tal al-Ahmar. Energy & Shipping Pressure: Iraq said it restored crude export capacity to over 3 million bpd and plans to reach 5 million bpd via pipelines and terminals, as Turkey moves to secure safer Black Sea passage to protect grain trade amid attacks. Reconstruction Finance Signal: Reports say the US lifted strict economic sanctions on Syria, opening the door for new investment pledges tied to desalination, airports and telecom projects. Industry & Trade Links: Turkey and Syria-related industrial cooperation continues to surface, including industrial zone plans in Raqqa and renewed focus on regional transport and trade corridors.

Syria Energy Hub Push: Washington Post reports Syria is pitching an overland oil corridor to the Mediterranean as an alternative to the Strait of Hormuz, with feasibility work tied to major firms and a pipeline concept that could take years and billions to build. Reconstruction & Industry Links: Syrian President Ahmad al-Sharaa met a German economic delegation to discuss reconstruction, while Türkiye signed a deal with Syria to set up an industrial zone in Raqqa—both signals for manufacturing and investment planning. Trade & Logistics: Iraq and Syria held talks to enhance economic cooperation and increase trade exchange, and reports say Syria’s oil corridor plans are moving from talk toward studies. Food Security Debate: Syria’s wheat self-sufficiency claim is being challenged, with critics asking for transparency on whether production truly covers national needs. Security & Disruption: UN and local reports highlight ongoing explosive ordnance contamination and deadly blasts across Syria, a direct risk to construction, transport, and industrial operations. Regional Pressure on Finance: The US sanctioned a Turkish bank over an alleged Iran oil-evasion scheme, underscoring how sanctions can disrupt regional energy trade routes that Syria wants to tap.

Energy & Trade Corridors: Trump is pushing Syria as an alternative route to the Strait of Hormuz, with reports saying about 5,000 oil-laden trucks cross daily from southern Iraq through Syria to the Mediterranean, while a Chevron-led pipeline plan would move up to 2 mbpd toward Baniyas. Reconstruction & Investment: President Ahmed al-Sharaa urged German companies to start reconstruction work now, saying obstacles have been removed and the country is entering an investment window to boost domestic production. Industrial Expansion (Textiles): Turkish apparel giant LC Waikiki has started production in Aleppo, and more Turkish firms are exploring factories and upgrades, as Syria’s textile sector sees renewed activity and exhibitions. Humanitarian Risk to Industry & Agriculture: UN OCHA warns explosive ordnance contamination is still hitting livelihoods—12 incidents in six governorates last week killed nine (six children) and injured 13, with most blasts in agricultural and grazing areas. Security & Logistics Disruption: Syria’s corridor talk comes as regional tensions rise, and the UN also reports Syria has begun destroying Assad-era chemical weapons remnants.

Chemical Weapons Cleanup: The UN Security Council welcomed OPCW-verified destruction of 42 Assad-era chemical munitions—Syria’s first verified dismantling since 2014—while urging completion of remaining inventories. Humanitarian & Safety: UN OCHA warned explosive ordnance contamination is still killing and injuring civilians; over the past week, incidents across six governorates left nine dead (six children) and 13 injured, with most blasts on agricultural and grazing land. Trade & Industry Links: Iraq and Syria held talks to boost economic cooperation and expand Iraqi exports to Syrian markets, spotlighting cement and bitumen; separately, Syria-Iraq trade is recovering as border crossings reopen, with energy transit growing via fuel oil routed through Syria to the Mediterranean. Reconstruction & Business Climate: A report on Damascus hotels says business travel is picking up as new venues open and occupancy rises, signaling cautious momentum for services and tourism. Regional Transport Push: Lebanon is working to restore rail links with Syria to connect ports to Gulf, Iraq and Türkiye markets, aiming to shift freight from roads to rail. Labor & Construction Demand: Cyprus is looking to Egypt and India to replenish construction workers amid gaps tied to repatriation schemes affecting Syrian labor supply.

Syria-Iraq Trade & Energy Transit: Border trade is slowly rebounding as crossings reopen, with Syrian exports to Iraq rising from about $58m (2024) to $62m (2025). Industrial Push: Iraq and Syria also held talks to boost exports, especially cement and asphalt/bitumen. Regional Logistics: Iraq’s fuel oil is increasingly moving through Syria to the Mediterranean via Baniyas, expanding beyond early April volumes. Construction Labor Pressure: Cyprus says its construction sector is short on workers and is looking to Egypt and India to fill gaps, with a framework already in place for Egyptian recruitment. Reconstruction & Investment: Turkish companies signed an agreement to set up a 150-hectare industrial zone in Raqqa under “Raqqa Vision 2030,” aiming to lift rebuilding and attract investment. Chemical Disarmament: The UN Security Council backed Syria’s first verified destruction of chemical munitions since 2014, with OPCW verifying irreversible destruction of 42 aerial bombs. Nuclear Oversight: IAEA reporting says a Deir Ezzor site’s cooling infrastructure is consistent with a nuclear reactor, while Syria’s disclosures and inspections continue.

Energy & Trade Corridors: Trump praised Syria’s pitch to bypass the Strait of Hormuz with an overland/truck route feeding the Syrian port of Baniyas, as Iraq prepares longer-term pipeline plans to Europe. Chemical Disarmament: Syria has started destroying Assad-era chemical weapons remnants, with the OPCW verifying the first destruction since 2014 and confirming irreversible destruction of 42 aerial bombs. Nuclear Oversight: The IAEA says infrastructure uncovered at Deir Az Zor is consistent with a nuclear reactor, after Syria granted inspectors access post-Assad. Regional Industry & Logistics: Menzies Aviation says it’s eyeing new opportunities in Syria as the country reconnects to global travel and finance, alongside Gulf and US expansion. Regional Economic Cooperation: The Arab Economic and Social Council wrapped up its 118th session in Cairo, discussing Arab food security and support for labor markets and reconstruction-related planning in Syria. Oil Exports via Neighbors: Iraq began exporting fuel oil via Jordan for the first time, while earlier volumes largely transited through Syria.

Energy & Trade Routes: Trump praised Syria’s plan to route Iraqi oil and regional cargo across Syria to Mediterranean ports as an alternative to the Strait of Hormuz, with reports pointing to a revived pipeline to Baniyas and multi-year construction needs. Aviation & Services: Menzies Aviation says it’s eyeing expansion in the Gulf, the US, and potentially Syria as the country reconnects with global travel after the US removed it from its terrorism sponsor list. Nuclear Oversight: The IAEA confirmed Syria tried to build a nuclear reactor at Deir Az Zor under Assad, citing cooling infrastructure consistent with a reactor and uranium linked to the site. Real Estate & Investment: Arada and the Syrian Sovereign Fund announced a $7bn “New Damascus” JV for a new integrated city near Mezzeh, aiming to align with reconstruction priorities. Food Security: Syria reached wheat self-sufficiency for the season after receiving about 2.75m tons, exceeding estimated needs, with storage and logistics upgrades supporting procurement. Security & Regional Tensions: Turkey rejected claims about SDF-affiliated foreign elements leaving Syria for Türkiye, while Israel-Turkey friction continues to raise escalation risks.

Nuclear safeguards: The IAEA says Syria under Bashar al-Assad tried to build a nuclear reactor in Deir ez-Zor and failed to declare nuclear material, facilities and activities; inspectors also found cooling infrastructure consistent with a reactor and confirmed uranium particles and a newly reported stockpile of about 73 tons of natural uranium under containment. Energy & logistics: With the Strait of Hormuz disrupted, Syria is pitching itself as an overland alternative, as thousands of tanker trucks move Gulf oil across desert routes to the port of Baniyas and a Chevron-led pipeline plan is discussed to boost crude flows. Reconstruction & agribusiness: German firms, including PETKUS, are exploring investment in Syria’s agriculture—grain, seeds, agri-tech and logistics—while banking and transfer hurdles remain. Power sector focus: A new analysis argues Syria’s “peace dividend” should start with electricity reliability, turning foreign fuel and finance into durable domestic capacity. Mine action: HALO Trust reports nearly 700 people killed or injured by mines and explosive remnants since the start of 2026, with many incidents in agricultural areas. Regional security-industrial ties: Coverage links the Mecca Joint Defense Agreement’s push for defense-industrial cooperation to wider security competition affecting Syria and the Eastern Mediterranean.

Nuclear Accountability: The IAEA says Syria under Bashar al-Assad failed to declare nuclear material and confirms a reactor under construction in Deir ez-Zor, plus fuel fabrication, storage links, and about 73 tons of undeclared natural uranium now under safeguards. Postwar Safety & Human Impact: HALO Trust and UN mine-action reporting warn that explosive remnants of war are still killing and injuring people in Syria—2,375 casualties since Assad’s fall, roughly one every six hours, including hundreds of children. Energy & Trade Routes: With Strait of Hormuz risks, Syria is pitching itself as an overland corridor; reports highlight Iraqi oil shipments surging and renewed interest in routing flows toward Syria’s Baniyas port. Infrastructure & Reconstruction: Syria and Lebanon agreed to move ahead on restoring the Tripoli–Abboudieh–Homs rail link, aiming to revive freight and possibly passenger traffic. Industry Signals: Welspun and Perma-Pipe plan a Jordan JV for pipe manufacturing and advanced coating—supporting water, oil, gas, and regional infrastructure that could also feed reconstruction demand. Regional Business Climate: Arada and Syria’s Sovereign Fund signed a $7bn “New Damascus” mixed-use development deal, a major Gulf investment bet on rebuilding.

Mine Action & Safety: A Damascus-countryside family says an unexploded ordnance blast killed their 17-year-old and injured two brothers, as a charity warns UXO casualties happen about every six hours and UN-linked counts since the Assad era already include thousands of deaths and injuries, many of them children. Nuclear Transparency: The IAEA says Syria under Bashar al-Assad failed to declare nuclear material, facilities and activities, confirming a reactor-related site in Deir Az Zor with cooling infrastructure consistent with a reactor and reporting 73 tons of uranium secured and now under monitoring. Energy & Industry Links: Welspun Corp signed an MoU with Perma-Pipe and Jordan’s National Water Carrier project partners to explore a joint venture for pipe manufacturing and anti-corrosion coating facilities in Jordan, targeting water, oil & gas, energy and infrastructure demand across the region. Digital & Public Services: Syria’s digital public infrastructure push continues with civil service app and biometric IDs, while Visa and Mastercard reportedly begin first international card transactions in Syria after years. Security & Finance Risks: A South Korea case alleges foreign nationals used crypto tied to a Syria-based terrorist group to buy used cars and excavators and ship them back to Syria, highlighting how procurement can move through cross-border supply chains.

Real Estate & Investment: UAE developer Arada has signed an agreement with Syria’s state sovereign fund to launch a $7bn “UAE-style” mixed-use project west of Damascus, with 11,000 homes, a 300-bed hospital, schools, hotels and serviced apartments, planned in phases over 10 years—an early sign of how Gulf capital is moving from deals into on-the-ground construction. Security & Stability: In Suwayda, clashes between local armed groups and Syria’s Internal Security forces left 10 security personnel wounded, with reports of mortar and heavy machine-gun fire and a fire spreading into nearby agricultural land. Trade & Finance: Syria’s push back into global finance continues as reports highlight the first international card transactions in Syria, signaling easier payments for businesses and cross-border customers. Energy & Logistics: Iraq is fast-tracking a $4.6bn cross-country pipeline network to expand crude export routes and reduce reliance on Strait of Hormuz shipping—linking Basra to Haditha, then onward toward Turkey and Syria’s coast. Regional Diplomacy: Qatar urged de-escalation between Iran and the US after attacks involving the UAE and Jordan, while warning against any attempt to normalize Hormuz closure.

Syria’s Budget Pulse: Syria says public revenue more than doubled to about $2.7bn in H1 2026, while spending jumped to about $3.7bn, driven by higher wages and priority outlays. AI & Telecom Investment: Saudi firm aixplain and Syriatel signed a partnership to deploy Saudi-developed sovereign AI infrastructure across Syriatel’s 12m+ subscribers, positioning AI as a regional export. Foreign Capital in Real Estate: UAE Arada Group and the Syrian Sovereign Fund formalised a $7bn, 4m sq m integrated development in Syria, spanning housing, hospitality, education and healthcare. Regional Energy & Trade Links: Iraq is speeding up a pipeline project to export crude via Turkey and Syria, targeting nearly 2.2m bpd capacity as Strait of Hormuz disruptions keep pressure on routes. Finance & Payments: Visa and Mastercard are reported to have enabled Syria’s first international card payments, signaling a push back into global financial rails. Governance & Openness: A Kurdish cultural event in Damascus urged Kurdish language recognition in schools and official status, framing it as part of reconstruction and social integration.

US delisting impact on Syria’s economy: Washington rescinded Syria’s State Sponsor of Terrorism designation, a legal shift that could ease some financial and export frictions, while investors still watch for real bank and trade follow-through. Payments modernization: Visa and Mastercard processed Syria’s first international cross-border card transactions after the payments ecosystem was reconnected, with QNB Syria and Lebanon’s Fransabank handling the first live tests. Regional trade & logistics: Iraq increased fuel oil exports through Syria, reaching 21.4 million barrels from March to end-August, using storage at Baniyas port as Hormuz disruptions push alternative routes. Water infrastructure risk: A watchdog warned Iraq may not fully benefit from higher Euphrates flows from Syria due to sediment buildup, weak transfer capacity, and poor real-time coordination. Syria-Libya reopening: Syria and Libya agreed to reopen Syria’s embassy in Tripoli and expand consular services, signaling a new push for cooperation. Transport engineering: Turkey and Syrian forces completed a floating bridge over the Euphrates to ease Deir el-Zour transport bottlenecks. Security spillover: Clashes resumed near As-Suwayda, where a shell hit an agricultural tractor, killing two civilians.

Syria’s trade and reconstruction push: The U.S. removed Syria from its State Sponsor of Terrorism list, a move officials say should ease banking, transfers, exports and reconstruction financing—though investors won’t rush in overnight. Damascus–Libya business reset: Syria reopened its embassy in Tripoli after 14 years and revived a joint higher committee, with talks also covering consular services, security cooperation and outstanding financial dues. Regional infrastructure for daily life: Turkish and Syrian forces completed a floating bridge over the Euphrates to ease transport burdens in Deir ez-Zor, replacing an earlier crossing. Industry & markets spotlight: The 63rd Damascus International Fair opened under “Syria Shines Again,” with B2B/B2G days and deals aimed at reviving trade and investment links. Food supply pressure: Qamishlo saw long queues outside bakeries as flour deliveries and currency-related requirements disrupt bread production and distribution. Water flows affecting operations: Higher Euphrates releases reached Iraq and are expected to rise, prompting monitoring to protect water facilities and reduce flood risk. Security risks to agriculture: Israeli shelling hit Suwayda farmland, killing a displaced woman working on agricultural land and injuring others.