Humanitarian Challenges in Sending Funds to Syria

Summary

The humanitarian community faces significant challenges when sending funds into Syria due to the complex and restrictive financial environment. The collapse of the banking system in non-government controlled areas and sanctions imposed by US, EU, and other countries on Syrian government-owned banks have limited available channels for funds coming into Syria.

Key Points

Targeted Sanctions

• Governments typically apply targeted sanctions to coerce regimes or individuals into changing their behavior by increasing costs.
• Targeted sanctions can be an effective tool in achieving specific goals, such as regime change or compliance with international norms.

Restrictive Measures

• Sanctions include various categories and types that target individuals, entities, access to funds, economic resources, and financial services.
• Restrictive measures can have a significant impact on the economy of the targeted country, leading to shortages of essential goods and services.

Financial Action Task Force (FATF)

• FATF defines money or value transfer services (MVTS) as financial services that involve the transfer of value between different parties.
• MVTS can include a wide range of services, such as money transfers, currency exchange, and payment processing.

Restrictions on Syrian Businesses

• Sanctions target the Central Bank of Syria, state-owned banks, and the Syrian petroleum industry.
• These restrictions limit the ability of Syrian businesses to access international financial markets and conduct transactions with foreign entities.

Answerable Questions

1. What are some common reasons for imposing sanctions?
2. How do targeted sanctions typically work?
3. What is FATF’s definition of money or value transfer services (MVTS)?
4. Which countries have imposed sanctions on Syria?