Syrian President Ahmad al-Sharaa, issued two decrees representing an important shift in wage and pension policy amid complex economic challenges. Minister of Economy and Industry Muhammad al-Shaar emphasized that these decrees carry extremely important economic, social, and humanitarian dimensions at this critical time.
Details of the Decrees
The first decree, No. 102, grants a 200% increase in the salaries and wages of civilian and military employees in all ministries, departments, and public institutions, as well as public sector companies and establishments, and all administrative and public sector units. The decree also includes joint sector entities in which the state owns at least 50% of the capital. Decree No. 103 grants pensioners covered by the current insurance, pension, and social security laws an increase of 200% of the pension value existing on the date of the decree’s issuance.
Expected Economic and Social Impacts
Minister Shaar stated that the unprecedented 200% increase in the salaries of employees and retirees represents a fundamental step with a significant impact on the national economy and society. The government expects this increase to stimulate domestic demand by enhancing citizens’ purchasing power, thereby increasing domestic consumption. This step also aims to alleviate the burdens facing citizens due to the rising cost of living.
This increase contributes to enhancing societal stability by improving individuals’ financial situation. Shaar emphasized that this step confirms the state’s unwavering commitment to placing citizens’ well-being at the forefront of its priorities, despite the current economic challenges.
Invitation to the Private Sector
From the Ministry of Economy and Industry website, Minister Shaar issued a clear and urgent invitation to the nation’s partners in the private sector in all its forms. He urged them to take similar steps to raise salaries and wages for their employees, in line with “these national directives” aimed at improving the living conditions of all Syrians, establishing the principle of justice, and enhancing the integration of the roles of the public and private sectors in supporting citizens and the national economy.
The significant increase in salaries and pensions implemented by the two presidential decrees represents an urgent and decisive government response to the severe economic and living pressures. While Minister Shaar focuses on the expected positive aspects of stimulating the economy and alleviating citizens’ suffering, challenges arise in ensuring the sustainability of these increases and their actual impact on the ground amid difficult economic conditions. Attention now rests on seeing the private sector’s response to the government’s call to contribute to this national process.
