Syria issues first letter of credit for Saudi Aramco petroleum deal

Syria's central bank issued its first letter of credit in 14 years to facilitate a petroleum supply deal between the Syrian Petroleum Company and Saudi Aramco, marking a step toward restoring Syria's access to international banking channels after the removal of US sanctions.

Syria's central bank announced on Sunday that it issued its first letter of credit in 14 years to facilitate a petroleum products supply deal between the Syrian Petroleum Company and Saudi Aramco. The bank stated the transaction was arranged in coordination with a major US bank, which it did not name, opening a channel to finance oil imports and settle payments through the formal banking system. The move marks a step toward restoring Syria's access to international banking channels following the removal of US sanctions and its designation as a state sponsor of terrorism. Separately, Saudi Arabia's energy minister signed three memorandums of understanding with Kuwait, Qatar, and Egypt to strengthen energy cooperation. The agreement with Qatar sets a framework for collaboration in petroleum, natural gas, and petrochemicals, including exploring joint opportunities to develop pipelines for transport and exports.