Financial Crime World

Corruption in Syria: An Overview

The Prevalence of Corruption in Syria

Corruption is a pervasive issue in Syria, with all governing administrations relying on illicit sources of revenue. According to the Bertelsman Transformation Index (2023), the country ranks almost at the bottom of Transparency International’s Corruption Perception Index (CPI) with a score of 13 out of 100 in 2023, ranking 177 out of 180.

Forms of Corruption in Syria

State Capture

  • The Assad government has created a new business elite loyal to and dependent on the clique around Assad, who extract rents from businesses through seizures, extortion, and expropriation.
  • This form of corruption is characterized by the concentration of power and wealth among those closely tied to the ruling regime.

Tailor-Made Laws

  • Laws are passed that benefit domestic politically connected business entities and foreign companies tied to Assad’s allies, such as Russia and Iran.
  • These laws create a favorable business environment for specific groups while perpetuating corruption and undermining the rule of law.

The Impact of the Civil War on Corruption in Syria

The Emergence of a New Business Elite

  • Since 2011, a new class of business elite has emerged in Syria, taking advantage of the war economy to amass significant wealth.
  • These businessmen maintain strong ties to the Assad government and contribute to the perpetuation of corruption.

Public Perceptions of Corruption in Syria

According to a survey conducted by SACD (2021a):

  • Over half of respondents reported that there are very high rates of corruption in Syria.
  • More than half of respondents said they would not report corruption, indicating a lack of confidence in the justice system.
  • Almost two-thirds of respondents believed they do not have fair and transparent access to the judicial system.

Criminal Actors and Corruption in Syria

Criminal actors, including state-embedded players, foreign entities, and criminal networks, engage in various forms of corruption such as bribery and nepotism to exert control over criminal markets like drug production and trafficking.