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The US Department of Treasury’s Office of Foreign Assets Control (OFAC) issued a license on Monday to expand authorizations for activities and transactions in Syria in order to ease pressure on its shattered economy.
The authorization will last for six months as the U.S. government continues to monitor the evolving situation, according to a statement.
The move does not lift sanctions on the nation that has been battered by the war but allows the entry of humanitarian aid with the authorisation of certain transactions with the Syrian government, including some energy sales and incidental transactions.
In the license issued, the Department of the Treasury’s Office of Foreign Assets Control (OFAC) is authorizing transactions with governing institutions in Syria and certain transactions related to energy and personal remittances.
The US Treasury said it had issued a new general license to authorize transactions in support of the sale, supply, storage, or donation of energy, including petroleum, petroleum products, natural gas, and electricity, to or within Syria.
Furthermore, the license provides additional sanctions relief on some activities in Syria for six months to ease access to basic services.
The move was made “to help ensure that sanctions do not impede essential services and continuity of governance functions across Syria, including the provision of electricity, energy, water, and sanitation,” the Treasury said in a statement.
However, this authorization does not unblock the property of any blocked person under any of the US’ sanctions programs, and it does not authorize any financial transfers to any blocked person other than for certain authorized payments to governing institutions or associated service providers in Syria.
“The end of Bashar al-Assad’s brutal and repressive rule, backed by Russia and Iran, provides a unique opportunity for Syria and its people to rebuild,” said Deputy Secretary of the Treasury Wally Adeyemo.
Many diplomats acknowledge that this move could be used as leverage to ensure Syria’s new authorities fulfil their commitments.
Treasury Deputy Secretary Wally Adeyemo said the “Treasury will continue to support humanitarian assistance and responsible governance in Syria during this period of transition.”
