Syria’s Economic Challenges: Market Assessment Highlights Needs for Support and Recovery
The Norwegian Refugee Council’s recent market assessment indicates that local markets in Syria are ill-equipped to absorb new workers, particularly with potential mass returns of displaced individuals. Issues such as liquidity crises and soaring living costs persist, despite some minor improvements in trade policies. The NRC highlights the necessity for increased international support and investments to foster long-term recovery and self-sufficiency for Syrian families.
The Norwegian Refugee Council (NRC) has conducted a market assessment revealing that many local markets in Syria lack the capacity to absorb new workers, posing a challenge for the potential return of displaced individuals. The assessment, which included interviews with large and medium-sized enterprises across Rural Damascus, Daraa, Aleppo, Homs, and Hama, indicated a significant downturn in productivity and trade activities since the previous government’s fall, despite some policy changes aimed at improving trade conditions.
Federico Jachetti, the NRC’s Syria Country Office Director, emphasized the ongoing crisis within the markets, stating, “Despite the relative improvement in prices over recent months, Syrian markets are suffering from a liquidity crisis and purchasing power that has reached rock-bottom levels.” He highlighted that families continue to struggle to afford essentials, advocating for increased investments to support small businesses and create job opportunities that will aid in rebuilding civilian infrastructure.
As Ramadan approaches, an NRC survey indicated that families face mounting financial pressure, estimating monthly costs of food, rent, and utilities at approximately 3 million Syrian pounds (300 US dollars). Mohammed, an electrician trained by NRC, noted the market challenges stating, “If you sold 10 light bulbs and went back to the market to replenish, you would only get three or four pieces for the same price. “, revealing how reliance on remittances remains crucial for many.
Displaced individuals and those residing in camps reported adverse effects due to cuts in aid, including food rations. While prices for many staples have seen a decrease, bread costs have surged eightfold since the previous year following subsidy reductions, placing additional strain on families. Mona, a resident in a camp, expressed the harsh reality: “The only way for us to survive is to rely on aid from people. “, illustrating the dire conditions many endure in the absence of sufficient support.
In light of the upcoming ninth Brussels Conference on March 17th, the NRC is urging the international community to enhance support for displaced Syrians and those returning home. Jachetti articulated the necessity for a dual approach encompassing both immediate relief and long-term support to foster self-reliance among the Syrian population. The NRC continues to provide essential services, including water trucking, shelter, education, legal assistance, and rehabilitating civilian infrastructure. Additionally, they offer upskilling programs and business grants to empower Syrians to establish their own enterprises.
The NRC’s assessment reveals critical challenges facing local markets in Syria, illustrating a precarious economic environment exacerbated by ongoing liquidity issues and declining purchasing power. The dire needs of internally displaced persons and those returning highlight the urgent requirement for increased international support and investment. Efforts must focus on fostering economic self-reliance through essential services and business development initiatives, as articulated by NRC officials. Immediate and sustained action is essential to address the pressing humanitarian needs and rebuild livelihoods within these communities.
Original Source: www.nrc.no
