Saudi Arabia and Syria Sign Defence Deal, $403m in Loans

Syrian President Ahmed al-Sharaa and Saudi Crown Prince Mohammed bin Salman oversaw the signing of a defence cooperation agreement and six development loan deals worth more than $403 million during talks in Riyadh on Wednesday, in al-Sharaa's second visit to the kingdom in less than a month.

The defence agreement between the two countries' defence ministries was described by Syria's Foreign Ministry as the "most notable" of the deals, though its terms were not disclosed. The two leaders also discussed regional and international developments and called for de-escalation and the peaceful resolution of disputes, according to official statements.

The six concessional loan agreements were signed by the Saudi Fund for Development and Syria's Finance Ministry. They include $100 million to rebuild and equip damaged healthcare facilities, $60 million to repair up to 10,000 damaged housing units, $105 million to construct and equip 25 civil defence centres, $90 million to rehabilitate generating units at the Aleppo Thermal Power Plant, $30 million to install 300,000 smart water meters, and more than $18 million to support digital transformation at Syria's Ministry of Finance.

The two governments also signed a memorandum of understanding on industrial cooperation and two additional agreements on agriculture and environmental protection.

Wednesday's meeting came days after Syrian Foreign Minister Asaad al-Shaibani said Damascus was weighing whether to join a mutual defence pact among Saudi Arabia, Turkey and Pakistan. At the Manama Dialogue security conference in Bahrain, al-Shaibani said negotiations were under way and that Syria considered Gulf security part of its own.

Saudi Arabia has been a key backer of Syria's government since al-Sharaa assumed the presidency in December 2024. The kingdom has provided grants for crude oil and government salaries, and is now supporting reconstruction across energy, water, health and infrastructure sectors.