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FINANCIAL NEWS
Syrian 2012 economy to contract 20%: IIF
11 Dec 2012
(MENAFN) The Institute for International Finance (IIF) stated that in the current year, Syria’s economy is expected to contract by 20 percent, reported Arabian Business.
The Washington-based institute said that by the end of 2013, the country would see all of its foreign reserves drained, as the government has spent billions of dollars of hard currency reserves on wages, fuel subsidies and to hold up the Syrian pound.
It added that inflation has grown to 40 percent, whereas the pound’s official exchange rate against the dollar has dropped by 51 percent.
The economy has been also negatively affected by the sanctions imposed by the Arab League, which were introduced in late 2011, in addition to the US and EU sanctions that were imposed in September 2011.
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