Use of Turkish lira spreads in Syria

Syrians, who has been conducting trade in Turkish lira in areas controlled by Turkey, are now expanding this practice from Aleppo to Damascus following Assad's downfall.

Tuesday December 17 2024 02:11 am

Duvar English

After the collapse of the regime in Syria, the currency used by Bashar al-Assad began to be no longer accepted by the public, rendering it unusable.

Syrians, who had started trading in Turkish lira in areas controlled by Turkey in the northern buffer zone, have been now expanding usage of Turkish curency from Aleppo to Damascus.

As one dollar was equivalent to 27,000 Syrian liras, Syrians have started exchanging their dollars for Turkish lira, which has been nearly 35 times less valuable than the dollar.

According to a report in daily Cumhuriyet, economists highlighted that the increasing use of Turkish Lira could be economically positive for Turkey.

Professor Sefer Şener from Istanbul University’s Economics Department stated that while the use of the Turkish Lira in Syria is temporary, it could be still beneficial. He added, "The Turkish lira is among the valid currencies in Syria, and it can be used anywhere in the world."

Şener emphasized that the increasing use of the Turkish Lira in international trade could strengthen the Turkish economy. He explained, "The more widely a country’s currency is used, the stronger that country's economy becomes." The Turkish Lira has become part of trade alongside other currencies like the Russian Ruble and Chinese Yuan, according to Şener.

Economist Arda Tunca noted that due to the ongoing uncertainty in Syria, the Turkish Lira is currently a sensible option for small-scale trade. However, he pointed out that if Syria establishes its own currency, this situation may change.

According to Tunca, the stability of the Turkish Lira would be critical for the continuation of trade.

In June 2024, al-Assad passed a law banning all currencies except the Syrian lira under his regime.

Hayat Tahrir al-Sham (HTS), a group that includes Al-Qaeda's former branch, made the use of the Turkish Lira mandatory in Syria's Idlib province after it took control of in 2020.

HTS, which was reportedly supported by Turkey, was also among the forces that overthrew Assad. However, HTS is considered a terrorist organization by Turkey.